Question

What are the differences between common markets, common unions, and free trade agreements? Which of these are the most comprehensive form of trade agreement.

Answer 1

The FTA is the same as the Free Trade Area (FTA). More grounded than the FTA is the Customs Union (CU). For example, FTA has a lower degree of trade integration between two countries. Between two or more nations, CU is more bounded. The FTA and CU are grouped together in WTO law because it is the same to form either FTA or CU. For instance, there may be FTA between Japan and the EU, and there may be CU between the EU and Switzerland. Common products market is not, in fact, the legal term. It is the name of the textbook that you can see in the books of trade that discuss WTO.

Common market means the market created on the basis of international trade in general, in either FTA or CU. The common market for SERVICE or IP would be more helpful nowadays because the common market for products is nearly everywhere in the globe, but misses to show internet e-commerce.

The Free Trade Agreement is the most comprehensive form of trade agreement