Chapter 15 Outline
A. The Global Approach
1. Under the auspices of the General Agreement on Tariffs and Trade (GATT) there have been eight round of international trade negotiations in the post-World War II era.
a. These negotiations have resulted in reductions in tariff rates.
B. The Regional Approach
1. Many countries have formed regional trading blocs.
a. These blocs reduce or eliminate trade barriers among members while maintaining barriers against countries who are not a part of the bloc.
2. The North American Free Trade Agreement (NAFTA) established a freetrade area for the United States, Canada, and Mexico.
3. The European Union has 15 members. It has eliminated most trade barriers between member countries.
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