WORLD HISTORY

Detailed explanation-1: -A trade block is a type of intergovernmental agreement, often part of a regional intergovernmental organization, where barriers to trade (tariffs and others) are reduced or eliminated among the participating states.

Detailed explanation-2: -Some examples of trade blocs are: The European Free Trade Association (EFTA) is an FTA between Iceland, Norway, Liechtenstein, and Switzerland. The Common Market of the South (MERCOSUR) is a customs union between Argentina, Brazil, Paraguay, and Uruguay.

Detailed explanation-3: -Examples include the North American Free Trade Area (NAFTA) between the USA, Canada and Mexico; Asia Pacific Economic Cooperation (APEC) and the Common Market of Eastern and Southern Africa (COMESA).

Detailed explanation-4: -Trade blocs are a form of economic integration and it increasingly forms the structure of world trade. To form a trade bloc, countries conclude international treaties. Typically, trade blocs have their own administrative and regulatory bodies. Some trading blocs also set political goals.