The formation of a trade bloc necessarily improves well-being worldwide because it is a step toward free trade.

Question

Quizplus · Accepted Answer

The formation of a trade bloc may not necessarily improve well-being worldwide as it may create trade diversion, discrimination against non-members, and reduced competition among member countries. The benefits of free trade can only be achieved if it is conducted on a global scale, rather than limited to a specific group of countries.

The Formation of a Trade Bloc Necessarily Improves Well-Being Worldwide