Question

Free Trade Area means

Options

• the area where anything can be bought and sold

• Countries between whom trade barriers have been  substantially reduced

• countries which have common external tariff

• countries which have a common currency

Answer 1

Free Trade Area means Countries between whom trade barriers have been  substantially reduced

Explanation:

A free-trade area is a region encompassing a trade bloc whose member countries have signed a free-trade agreement (FTA). Such agreements involve cooperation between at least two countries to reduce trade barriers - import quotas and tariffs - and to increase trade of goods and services with each other.