This article will examine the trade blocs, the benefits and drawbacks of joining a trade bloc, and what to consider when deciding whether or not to join.
Trade blocs are groups of countries that have agreed to reduce tariffs on goods traded between them. These trade agreements are designed to provide greater access for businesses and consumers in member countries.
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A trading bloc is an economic union created by a free trade agreement. It is formed when two or more countries agree to drop trade barriers and create a common market.
The European Union is the world's biggest trading bloc, with 28 member countries and a population of over 500 million people. The EU has created a single market between these countries, meaning that goods can be traded freely across national borders without any taxes or customs duties being imposed.
The Asia-Pacific Economic Cooperation (APEC) was established in 1989 to promote free trade and economic growth in the Asia-Pacific region by reducing tariffs, encouraging investment, facilitating the transfer of technology and strengthening capacity. APEC's 21 member economies account for nearly half of global GDP, making it the most important trading bloc in the world.