Because the European Union Is Similar to a State in Some

question 46

Short Answer

Because the European Union is similar to a state in some ways, and less like a state in other ways, scholars talk about the European Union in terms of its __________ governance.

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Definitions:

Gentlemen's Agreements

Informal, non-binding agreements between parties based on honor and not legally enforceable.

Formal Cartels

An agreement among competing firms to control prices, production, and market distribution, which is often illegal.

Cartel

An association of manufacturers or suppliers that maintains prices at a high level by restricting competition and output.

Elasticity of Demand

A measure of how responsive the quantity demanded of a good or service is to a change in its price, indicating how changes in price influence consumer purchasing behavior.