Exam 8: Regional Economic Integration

The Maastricht Treaty called for a common currency, monetary and fiscal targets for members, and eventual political union of the member nations.

Scenario: Zucoland Zucoland, a small-sized country just south of the Andes mountain range was invited to join a regional trading bloc. The government of Zucoland is considering the benefits and costs of joining such a bloc. The government is attracted by the fact that this trading bloc requires Zucoland to give up the least amount of sovereignty than other types of blocs. -If all countries in the bloc are asked to give up the greatest amount of sovereignty, it would probably be a(n) ________.

A common market area is the greatest extent of national integration.

The organization for Asia Pacific Economic Cooperation (APEC) nations account for more than ________ percent of world trade.

The ________ is the legislative body of the European Union.

In 1967, Indonesia, Malaysia, the Philippines, Singapore, and Thailand formed the ________.

The most sophisticated and advanced example of regional integration today is occurring in ________.

The ________ was formed in Africa in 1975, but relaunched its efforts at economic integration in 1992 because of a lack of early progress.

A group of nations currently taking steps toward political union is ________.

The main difference between a free-trade area and a customs union is that the members of a free-trade area agree to treat trade with all nonmember nations in a similar manner.

Scenario: EU Primer The tiny but important country of Beaconville has been invited to join the European Union (EU). However, there is a lot of confusion among the country's population as to exactly how the EU operates. Beaconville's Office of Public Affairs is putting together a flyer outlining some of the EU's basic operating components and needs help answering the following questions. -The ________ fulfills its role of adopting EU law by debating and amending legislation proposed by the European Commission.

Today, the Andean Community is best described as a somewhat incomplete ________.

The European Parliament fulfills its role of adopting European Union law by debating and amending legislation.

Integration involving political cooperation can ________ the potential for military conflict between member nations.

For members of the Andean Community, a free-trade area is in place but the customs union and the common market are behind schedule.

In regional economic integration, industries requiring mostly unskilled labor will tend to shift production to low-wage nations within a trading bloc.

The main purpose of the ________ is to debate and amend legislation proposed by the European Commission.

The increase in the level of trade among nations that results from regional economic integration is called ________.

Scenario: Zucoland Zucoland, a small-sized country just south of the Andes mountain range was invited to join a regional trading bloc. The government of Zucoland is considering the benefits and costs of joining such a bloc. The government is attracted by the fact that this trading bloc requires Zucoland to give up the least amount of sovereignty than other types of blocs. -Which of the following would you suggest is a drawback(s) of a regional trading bloc?

Describe the structure of the European Union. How does it differ from a typical national structure of government?