BÖLGESEL ÖRGÜTLER - Deneme Sınavı - 13

NAFTA is a single puprose regional organization among others.

Full economic integration: harmonisation and unification of monetary, financial and social policies and the creation of supranational institutions

In economic terms, the success of regional organizations is generally measured by criteria such as trade diversion, trade creation, macroeconomic convergence and the completion of common projects. However, the most significant criterion applied in this regard is the organisation’s degree of success in achieving ‘market integration’ as a sign of a high level of economic interdependence among member nations.

The EU experience is compatible with the purpose of preventing nationalism. Indeed, the first phase of European integration was the creation of the now-defunct European Coal and Steel Community in 1951, which united the two bitterly hostile powers of France and Germany under one supranational body.

There are a few examples of regional organizations that disappeared completely. For instance, the Arab Cooperation Council that was founded in 1989 by Iraq, Egypt, Jordan and Yemen could not survive the Gulf War of 1991, as Saddam’s Iraq invaded Kuwait, and member states found themselves on opposite sides during the war.

The Central Treaty Organization (CENTO) was also intended as a regional security pact in the Middle East during the Cold War years until it transformed into a regional economic co-operation scheme under the name of the Regional Cooperation for Development.

The Ukraine Crisis in 2014 between Russia and the West was closely linked with this confrontation, as the root cause of the crisis was Kiev’s decision to make an association and free trade accord with the EU instead of partnering with Russia and the Russian-led Eurasian customs union.

Warsaw Pact is one of the examples of single-purpose regional organizations.

Benelux Union, Arap League, African Union and Nordic Council are selected examples of multi-purpose regional organizations.

Common market: creating a common market by providing the free movement of factors of production (persons, capital, goods and services).

The main objectives of the OAU were, inter alia, to rid the continent of the remaining vestiges of colonization and apartheid; to promote unity and solidarity among African States; to coordinate and intensify cooperation for development; to safeguard the sovereignty and territorial integrity of Member States and to
promote international cooperation within the  framework of the United Nations.

OAU: Organization of African Unity

The organisation, COMECON, no longer exists, but it remains a historical integration model of planned economies of the former Soviet bloc.

Rent-seeking refers to a situation in which regional organizations ‘are seized by particular groups who use regional integration (e.g., large projects) as a source of revenue’ (Vinokurov and Libman, 2017: 18).

The correct choice is C.

The correct choice is B.

The correct choice is E.

The correct choice is D.

The correct choice is A.

The correct choice is C.

The correct choice is D.

The correct choice is B.