The least amount of sovereignty that must be surrendered to a trading block occurs in a free trade agreement.

Question

Quizplus · Accepted Answer

A free trade agreement typically only involves the reduction or elimination of tariffs and trade barriers, but does not require significant involvement in political or economic integration or policy coordination. Therefore, the least amount of sovereignty is surrendered in a free trade agreement compared to other types of trading blocks such as a customs union or common market.

The Least Amount of Sovereignty That Must Be Surrendered to a Trading