A single market is a type of trade bloc which is composed of a free trade area (for goods) with common policies on product regulation, and freedom of movement of the factors of production (capital and labour) and of enterprise and services. The goal is that the movement of capital, labour, goods, and services between the members is as easy as within them. The physical (borders), technical (standards) and fiscal (taxes) barriers among the member states are removed to the maximum extent possible. These barriers obstruct the freedom of movement of the four factors of production.
A common market is a first stage towards a single market, and may be limited initially to a free trade area with relatively free movement of capital and of services, but not so advanced in reduction of the rest of the trade barriers.
The European Economic Community was the first example of a both common and single market, but it was an economic union since it had additionally a customs union.
Read more about Single Market: Benefits and Costs, List of Single Markets
Famous quotes containing the words single and/or market:
“After that came commencement day—that great day for which all other days were made. And it went. And that night I felt of myself all over, and to my astonishment, I found ‘twas the same old Rud. Not a single cubit added to my stature; not a hair’s breadth to my girth. If anything, on the contrary, I felt more lank and gaunt than common, much as if a load were off my stomach.”
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“A sentimentalist, my dear Darlington, is a man who sees an absurd value in everything, and doesn’t know the market price of any single thing.”
—Oscar Wilde (1854–1900)