What is it called when multiple nations agree to apply uniform external tariffs, remove tariffs amongst themselves, and allow free movement of labor and capital within the group?
Explanation
A free trade area removes tariffs between members but does not have common external tariffs. A customs union applies common external tariffs but does not allow free movement of labor and capital. A common market combines a customs union with the free movement of labor and capital among member countries. An economic union goes further by integrating economic policies and institutions.