Producers of ceramic tableware in Country A must repeat safety tests and complete separate customs forms when selling to Country B. The countries agree to recognise each other's test results and introduce a shared customs form as part of a free trade agreement.
The change is intended to
reduce the cost and delay of selling tableware between Country A and Country B
remove the tariffs charged on tableware traded between Country A and Country B
require producers in both countries to charge the same retail price
ensure that both countries export the same value of tableware
85 exam-style questions on OCR GCSE Economics 4.1 Importance of international trade, covering 4.1.1 Why countries import and export and 4.1.2 Free trade agreements. Each one has a worked solution and a mark scheme showing where the marks go.