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332CBS Economics of European Union Coursework One: Essay To what extent does the experience of European integration confirm the conclusions of theory with regard to both the dynamic and static effects of customs unions? Outline the problems of empirically testing customs union theory. Module Leader: Mike Walsh Student: Xing Xin By signing of the Treaty Rome under the name of European Economic Community in 1957, the European Community (EC) was established as a customs union. It abolished all tariffs and quotas between member countries, and imposed a common external tariff on outside imports. By the end of 1992, the Single European Market has been finally established, it removed other non-tariff barriers .since then commodities, capital and labour are able to move freely between member countries. In 1973 the EC also formed a free trade area (FTA) in manufactures with the remaining members of the European Free Trade Area (EFTA). The FTA removed all...

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