Question

Define economic integration. What are the three approaches to integration? Explain.

Answer 1

Economic integration is like an agreement among countries inn geographic area so to reduce or to remove the tariff and non tariff obstacles to free flow of goods or services. Factors of production among all, it can be any type of arrangement in which nations agree to coordinate in trade, fiscal or in monetary policies this term is known as economics integration.

The three approaches to integration

Transitional Approach- this approach lies in the collection of multi-national transactional analysis and this approach is also known as the transactional approach to integration, which identifies the essential conditions of political integration which are similar to the conditions identified for successful organizations.

It includes

Cultural similarity,

Economic interdependence,
Formal decision-making institutions,
Consensus building efforts
Geographical continuity.

Communication Approach to Integration - The fundamental premises of this approach is cybernetics i.e. the science of control and communication system which assumes the social process follows the laws of cybernetics which affects the interactions of nation and states. The pattern of communication between the states and more flow of information among the people would lead to the emergence of "security communities".

The Configurative Approach - This approach is the most important one, but it also examines the external and internal factors of integration.