IB Chapter 9 Regional Economic Integration
Which of the following explains why economic integration has never been easy to achieve or sustain, despite the strong economic and political arguments in support?
While a nation as a whole may benefit significantly, certain groups may lose.
Why is the European Council said to be the ultimate controlling authority within the EU?
Draft legislation from the commission can become EU law only if the council agrees.
Which is the most enduring free trade area in the world?
European Free Trade Association (EFTA)
Which of the following established the second largest currency zone in the world?
Maastricht Treaty
Which of the following is a reason the European Union is considered an imperfect economic union?
Not all members of the union have adopted the euro.
Which of the following, adopted by the member nations of the European Community in 1987, committed member countries to work toward the establishment of a single market by December 31, 1992?
Single European Act
From least integrated to most integrated, the levels of economic integration are a:
free trade area, a customs union, a common market, an economic union, and a political union.
Which feature of an economic union differentiates it from a common market?
a common monetary and fiscal policy
On average, studies indicate that NAFTA's overall impact has been
small but positive.
Country A and Country B entered into a free trade agreement recently. After this, Country A starts importing heavy machinery from Country B. Country A previously imported such machinery at lower rates from another country. Which of the following has occurred in this scenario?
trade diversion
