Economic integration is a term used to describe how different aspects between economies are integrated. The basics of this theory were written by the Hungarian Economist Béla Balassa in the 1960's. As economic integration increases, the barriers of trade between markets diminishes. The most integrated economy today, between independent nations, is the European Union and its euro zone. An economist is someone who studies Economics. ... Béla Balassa (born 1928) is a Hungarian economist and world-renowned professor at Johns Hopkins University; most famous for his work with Paul Samuelson (Balassa-Samuelson effect). ... Events and trends The 1960s was a turbulent decade of change around the world. ... The Eurozone (also called Euro-area or Euroland) is the subset of European Union member states which have adopted the Euro (€) currency, creating a currency union. ...

The degree of economic integration can be categorized into six stages:

1. Preferential trading area
2. Free trade area
3. Customs union
4. Common market
5. Economic and monetary union
6. Complete economic integration

This is a trading bloc which gives preferential access to certain products from certain countries. ... A free trade area is a designate group of countries that have agreed to eliminate tariffs, quotas and preferences on most goods between them. ... A customs union is a free trade area with a Common External Tariff. ... The European Community (EC), most important of three European Communities, was originally founded on March 25, 1957 by the signing of the Treaty of Rome under the name of European Economic Community. ... This article covers the general information on the topic. ... This is the final stage of economic integration. ...

See Also

• Trade pact
• Trade bloc