If several countries form a regional trading pact that removes tariffs between the members, implements a common external tariff structure, permits free mobility of factors of production, and integrates fiscal policies, they have formed a
A) customs union.
B) economic union.
C) free trade area.
D) common market.

Question

Quizplus · Accepted Answer

An economic union involves the integration of member countries' economic policies, including the removal of tariffs, a common external tariff, free mobility of factors of production, and the integration of fiscal policies, which matches the description given.

If Several Countries Form a Regional Trading Pact That Removes