Which of the following is true about forms of economic integration in regional markets?
A) In a free trade area, members harmonize their monetary policies.
B) A common currency is used by members in a free trade area.
C) Capital mobility is not permitted in a common market.
D) A customs union establishes a common trade policy with respect to nonmembers.

Question

Quizplus · Accepted Answer

A customs union establishes a common trade policy with respect to nonmembers. In a free trade area, there is no harmonization of monetary policies, and members do not necessarily use a common currency. In a common market, capital mobility is allowed.

Which of the Following Is True About Forms of Economic