Canada and the United States agree to remove all barriers to the trade of goods between them. However, the countries agree that each would be allowed to determine its own trade policies with regard to nonmembers. The economic integration between these countries is called a(n)

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A free trade area is an agreement between countries to remove trade barriers on goods among themselves while allowing each country to set its own trade policies with nonmember countries.

Canada and the United States Agree to Remove All Barriers