MATRIX COMPARISON FORMAT

Free flow of goods, services, Level of control over

Internal tariff between External tariffs (levied on
people, labor, land and Currency their National Example
member States. non-member countries).
capital. Sovereignty

Removing tariffs, and

Imports from outside the
regulations that are the North American
area do not confer the
Free Trade Area applied to member No Impact No Impact Full Free Trade Agreement
benefit of the free trade
countries who trade with (NAFTA)
agreement.
each other

A customs union, similar it also sets up a common

to an FTA, also removes external tariff to non-
Customs Union No Impact No Impact Full Benelux
tariffs between its members on imported
members and exported goods

has no barriers to trade

common external trade the free movement of the
Common Market between member No Impact Full MERCOSUR
policy factors of production
countries

harmonized tax rate,

has no barriers to trade has the free flow of products
common external trade Common and a common
Economic Union between member and factors of production European Union
policy Currency monetary and fiscal
countries between members
policy
 involves a central
political apparatus that
has no barriers to trade common external trade has the free flow of products Common coordinates the
Political Union between member policy and factors of production Currency economic, social, and The United States
countries between members foreign policy of
member states