A common market represents a type of trade integration.

Question

Quizplus · Accepted Answer

A common market is a form of trade integration where member countries eliminate tariffs and quotas on trade between each other, and also allow free movement of capital and labor within the market. This goes beyond a simple free trade area, where only the tariffs and quotas are removed. Examples of common markets include the European Union and the Southern Common Market (Mercosur) in South America.

A Common Market Represents a Type of Trade Integration