Author Question: In a free trade agreement, countries are free to charge their own tariffs to all entities external ... (Read 117 times)

JGIBBSON · **on:** Jun 29, 2018

In a free trade agreement, countries are free to charge their own tariffs to all entities external to the free trade market.

Indicate whether the statement is true or false

Question 2

Companies operating in countries that are similar to their home country are likely to use similar strategies.

Indicate whether the statement is true or false

raili21 · **Reply #1 on:** Jun 29, 2018

Answer to Question 1

T
A free trade agreement takes place between two or more countries and it involves a reduction in, or even elimination of, customs duties and other trade barriers on all goods and services traded between the member countries. Countries are free to charge their own tariffs to all entities external to the free trade market.

Answer to Question 2

T
Companies operating in countries that are similar to their home country are likely to use similar strategies.