Which feature of an economic union differentiates it from a common market?
A) Free flow of products and factors of production between member countries
B) A common monetary and fiscal policy
C) A common external trade policy toward nonmembers
D) Ability of factors of production to move freely between members

Question

Quizplus · Accepted Answer

An economic union entails even closer economic integration and cooperation than a common market. Like the common market, an economic union involves the free flow of products and factors of production among member countries and the adoption of a common external trade policy, but it also requires a common currency, harmonization of members' tax rates, and a common monetary and fiscal policy.

Which Feature of an Economic Union Differentiates It from a Common