MKTG 4400 Ch. 10 True or False

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False

A commonwealth of nations is an organization providing for the strongest possible economic integration relationship.

False

A customs union is the most fully integrated form of regional cooperation.

True

A free trade area (FTA) provides its members with a mass market without barriers to impede the flow of goods and services.

True

An important objective of the member states of the United Nations is bringing about mutual economic development.

True

At the most general level, the WTO represents the most important and comprehensive trade agreement in history.

False

Historically, standards have been used to effectively increase market access.

True

In the Treaty of Amsterdam (1977), the European Union agreed to accommodate the changes brought about by the monetary union and the admission of new members.

True

Iran, Pakistan, and Turkey, formerly the Regional Cooperation for Development (RCD),have renamed their regional group the Economic Cooperation Organization (ECO).

True

Multinational market regions are those groups of countries that seek mutual economic benefit from reducing interregional trade and tariff barriers.

False

Nations with complementary economic bases are most likely to encounter frictions in the development and operation of a common market unit.

False

One of the chief features of Maastricht Treaty (1992) was that 12 members of the European community agreed to an economic but not political integration.

True

Ten new countries joined the European Union in 2004 followed by Bulgaria and Romania in 2007

False

The Arab Gulf states, Egypt, and Morocco have worked out an agreement on the Gulf Arabian Free Trade Area (GAFTA).

False

The Baltic States had a history of a free trade regime

False

The Commonwealth of Independent States (CIS) was formed by Britain because it did not want to join the European Economic Community (EEC).

True

The Commonwealth of Independent States is a loose economic and political alliance with open borders but no central government.

False

The Council of ministers of the European Union can enact into law all proposals by unanimous vote.

False

The European Union is a good example of a free trade area.

False

The European Union is currently an officially established political union.

True

The European Union was created when the 12 nations of the European Community ratified the Maastricht Treaty.

True

The WTO is wholly dedicated toward making trade among nations more efficient.

True

The blueprint for the European Union began with the Treaty of Rome in 1957.

False

The decisions of the European Court of Justice can be appealed in national courts.

True

The first Soviet republics to declare independence were the Baltic States.

False

The importance of political unity to fully achieve all the benefits of economic integration has driven European countries to form the World Trade organization (WTO).

True

The initial aim of a multinational market is to protect businesses that operate within its borders.

True

The most advanced and viable of Africa's regional organizations is called the Southern African Development Community.

False

The most basic level of economic integration and cooperation is geographical local federation (GLF).

True

With the adoption of the euro, price differentials are much easier to spot, and the consumer can search for the best bargains in brand-name products more easily.

False

Europe and Asia had a trade group that emerged and persisted since the dissolution of the Soviet Union called the Newly Independent States.


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