Did the 1957 Treaty of Rome Turn the EU into a Truly

question 18

Multiple Choice

Did the 1957 Treaty of Rome turn the EU into a truly unified market?

• A) Yes, it paved the way for the current EMU.
• B) No, although it established a customs union, it failed to remove barriers to the movement of goods and factors within Europe.
• C) No, it was only after the German unification and locating the ECB in Frankfurt that unity was achieved.
• D) No, since the Northern members of the EU had larger endowments of capital and skilled labor.
• E) No, the Treaty of Rome created more trade barriers between European countries.

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Definitions:

Investing Activities

Transactions involving the purchase and sale of long-term assets and other investments not considered cash equivalents.

Cash Flow

The total amount of money being transferred in and out of a business, especially affecting liquidity.

Accounts Receivable

Money owed to a company by customers for products or services that have been delivered or used but not yet paid for.