A Free Trade Area Is an Agreement That

question 75

Multiple Choice

A free trade area is an agreement that

• A) involves two or more countries that agree to eliminate tariffs and other trade restrictions on most or all mutual trade of their own goods and services,where each country has different tariffs for imports from non-member countries.
• B) involves two or more countries that not only agree to eliminate tariffs and other trade restrictions on most or all mutual trade but also agree to a common set of trade barriers to imports from non-member countries.
• C) involves two or more countries eliminating trade restrictions on most or all mutual trade,maintaining a common set of trade barriers against imports from non-member countries,and permitting mobility of capital and labour among member countries.
• D) involves two or more countries eliminating trade restrictions on most or all mutual trade,maintaining a common set of trade barriers against imports from non-member countries,permitting mobility of capital and labour among member countries,and adopting a single currency.
• E) involves two or more countries that dissolve their borders to become a single political entity.

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Definitions:

Functional Staff

Employees who specialize in certain areas or functions within an organization, such as finance, marketing, or human resources, providing expertise and supporting overall operations.

Technical Service

Support services focused on providing specialized assistance or expertise in specific technical areas, often related to products or infrastructure.

Organizing Function

A core management function that involves arranging people, tasks, and resources to work together to implement plans and achieve stated objectives.

Elastic

A term used to describe a situation where the demand or supply of a good or service is sensitive to changes in price.