ABSTRACT
This chapter provides an overview of the existing mechanisms for global and regional integration. It helps the reader to know the history of General Agreement on Tariffs and Trade (GATT) and the World Trade Organization (WTO). The chapter describes the history and structure of the European Union (EU), North American Free Trade Agreement (NAFTA), and Asia-Pacific Economic Cooperation (APEC). It also helps the reader to understand the possible trade implications of regional trade agreements and to know the types of regional trade agreements. NAFTA is a less integrated preferential trade agreement, but may at some time become more like the EU, with new agreements such as the Central American Free Trade Agreement. APEC is a loosely configured preferential trade agreement where members do not sign binding treaties. Nevertheless, APEC seemingly has succeeded in reducing trade barriers among its member nations.
