Chapter 9

Preferential Trade Agreements and the Global Trade Regime 

Quizzes 

Test your knowledge with the Chapter 9 quiz! 

Question 1

A customs union adds what element to a free trade area?

Coordination of fiscal and monetary policies

Shared trade negotiations

Common infrastructure projects

Common external tariff

None

Question 2

Trade diversion occurs when an FTA leads to:

Disintigration of domestic regulation

The shift away from a lower cost producer not party to the FTA

The shift in industries after FTA

Unemployment due to trade shifts

None

Question 3

The Lomé Convention is an agreement between which 2 trading partners:

The US and ASEAN

The EU and Africa

The EU and ASEAN

The EU and Latin America

None

Question 4

What are the first and last steps in the economic integration process?

Free trade area and Political union

Free trade area and Common market

Economic union and Free trade area

Customs union and Common market

None

Question 5

The precursor to the European Union, formed in the 1950s, was the European and Steel community.

Question 6

Rules of origin refer to a product is made.

Question 7

The Agreement abolished border checks in the EU.

Question 8

Belarus is an associate member of the European Union

TRUE

FALSE

None

Question 9

GATT article 24 is considered to be ineffective in shifting PTAs.

TRUE

FALSE

None

Question 10

Trade has increased faster in PTAs than under the WTO.

TRUE

FALSE

None

Time’s up

Watch, Listen, Read, and Explore 

This content includes videos, podcasts, articles, readings, and other resources to help you understand and explore the content covered in the chapter. Most readings are freely available, although anything marked with an asterisk may require institutional log-in (e.g., through your university). Freely available data sources are also included to explore and further research. 

Videos 

• See Lecture Video
• A Brief History of the European Union (to 2014), EPinUK: https://www.youtube.com/watch?v=XgnXwrsMBUs  
• Origins of European Integration, Trans European Policy Studies Association: https://www.youtube.com/watch?v=mwI2gXYaNpI  

Podcasts 

• European Centre for International Political Economy (ECIPE) EU trade podcasts: https://ecipe.org/podcast/  
• Miguel Toro, Wilson Center podcast, “Winners and Losers of NAFTA”: https://www.wilsoncenter.org/article/podcast-winners-and-losers-nafta-trade-month  
• NPR, “20 years of NAFTA” podcast series: https://www.npr.org/series/249998251/20-years-of-nafta  
• UN Africa Renewal podcast: https://africarenewal.un.org/en/podcasts/3802/32 
• UN Africa Renewal podcast, Ep. 1: African Continental Free Trade Area: https://africarenewal.un.org/en/podcasts/000/32   
• IMF podcast, “African Continental Free Trade Area a Potential Game Changer”: https://podcasts.apple.com/za/podcast/african-continental-free-trade-area-a-potential/id1029134681?i=1000437518705  
• EPRS podcast, “EU economic partnership agreements with ACP countries: Which way forward?”: https://podcasts.apple.com/pl/podcast/eu-economic-partnership-agreements-with-acp-countries/id1086996218?i=1000589253869  

Readings 

• Facts and figures on the structure of the EU: https://european-union.europa.eu/principles-countries-history/facts-and-figures-european-union_en  
• Timeline of the EU (EU Watch): https://www.euwatch.be/timeline-of-the-eu/  
• Trade diversion, EconomicsHelp.org: https://www.economicshelp.org/blog/glossary/trade-diversion/  
• “Trade Creation and Trade Diversion in Deep Agreements” (Mattoo, Mulabdic and Ruta, World Bank Study, 2019): https://thedocs.worldbank.org/en/doc/328491559591517896-0050022019/original/TradeCreationanfTradeDiversion.pdf  
• Theories of European Integration (Bergmann & Niemann, 2015): https://internationale.politik.uni-mainz.de/files/2012/10/BergmannNiemann_Theories-of-European-Integration_final-version-00000003.pdf  
• Wilson Center, NAFTA at 30: Canada Institute and Mexico Institute Experts Reflect: https://www.wilsoncenter.org/article/nafta-30-canada-institute-and-mexico-institute-experts-reflect  
• USMCA treaty text: https://ustr.gov/trade-agreements/free-trade-agreements/united-states-mexico-canada-agreement/agreement-between 

Selected Sources of Free Data 

• WTO PTA database: http://ptadb.wto.org/ 

Note: We use the term PTAs in the text in the way that the WTO defines RTAs 

• WTO RTA database: http://ptadb.wto.org/  
• EU Treaties: https://european-union.europa.eu/principles-countries-history/principles-and-values/founding-agreements_en