What is meant by the phrase "free trade"?A.That there are no shipping costs within those countriesB.That international business is not limited by tariffs or quotasC.That products traded between those countries are at no chargeD.That companies are expected to make less profit

This means free movement of goods, services, and factors of production (capital and labor) between member countries.There are no internal tariffs or quotas on trade among members.

A Free Trade Area is:Question 40Select one:a.When a group of nations abolishes trade restrictions among themselves and imposes common and uniform tariffs on other nations.b.When a group of nations provides for the free mobility of factors of production among the member nations.c.When a group of nations adopts trade restrictions among themselves without also imposing common tariffs on other nations.d.When a group of nations abolishes trade restrictions among themselves without also imposing common tariffs on other nations.e.When a group of nations abolishes trade restrictions among themselves but also imposes common tariffs on other nations.

A free trade agreement or treaty is a multinational agreement according to international law to form a free-trade area between the cooperating statesFree Trade AgreementsGross Domestic ProductInternational Division of LaborHuman Development Index

Complete the list below to show the first two reasons for restrictions on free trade:1. To prevent   , which is when foreign firms aggressively cut their prices and force    producers out of the market2. To protect domestic    by increasing demand for goods produced

Free trade can benefit a country's economy by:A.protecting domestic businesses from foreign competition.B.requiring businesses to follow strict worker protection laws.C.ensuring that natural resources are used in sustainable ways.D.giving consumers access to a wider variety of products.