An economic union is a type of trade bloc which is composed of a common market with a customs union.^[1] The participant countries have both common policies on product regulation, freedom of movement of goods, services and the factors of production (capital and labour) as well as a common external trade policy. When an economic union involves unifying currency, it becomes an economic and monetary union.

The purposes for establishing an economic union normally include increasing economic efficiency and establishing closer political and cultural ties between the member countries.

Economic union is established through trade pact.

List of economic unions

• CARICOM Single Market and Economy^[2]
• Central American Common Market - Common market since 1960, customs union since 2004.^{[citation needed]}
• Eurasian Economic Union - Customs union since 2010, common market since 2012.^{[citation needed]}
• European Union (EU) - Economic union of 27 European states, but only 20 are inside the Eurozone are also part of an economic and monetary union.^[3]
• European Economic Area (EEA) - Economic area between European Union and EFTA member states (except Switzerland).
• Gulf Cooperation Council^[4][5]
• Mercosur

Note: Every economic and monetary union includes an economic union.

Additionally the autonomous and dependent territories, such as some of the EU member state special territories, are sometimes treated as separate customs territory from their mainland state or have varying arrangements of formal or de facto customs union, common market and currency union (or combinations thereof) with the mainland and in regards to third countries through the trade pacts signed by the mainland state.^[6]

See also

• List of multilateral free-trade agreements
• List of bilateral free-trade agreements
• Supranational union

References

External links

• Economic Integration: Overview