If the United Kingdom and Italy eliminate all tariffs on each other's goods and all restrictions to factor movements between them,and implement a uniform system of import restrictions against the rest of the world,these countries have formed a common market.

Question

Quizplus · Accepted Answer

This statement is describing the formation of a common market, which involves the elimination of tariffs and restrictions between member countries while implementing a uniform system of import restrictions for countries outside of the market. Therefore, if the UK and Italy were to do this, they would indeed form a common market.

If the United Kingdom and Italy Eliminate All Tariffs on Each