Trade Unions: Arab Maghreb Union and European Union - Term Paper Example

After Second World War, many s in the world looked to strengthen their economies that had experienced a great dip during the war period. The states located in one region entered into formal agreements that enabled them to sell and buy their products within that region and other regions. When the first regional trade union proved successful, other regions established their own trade unions to boost their economies. For instance, some Arabic states formed Arab Maghreb Union, which was similar to European Union with a few notable differences between the two unions.

Arab Maghreb Union consists of five states such as Tunisia, Morocco, Algeria Libya, and Mauritania all from North Africa. Another key aspect that could boost trade in AMU is the establishment of joint projects and other economic programs that could make AMU members to be competitive in the world market (The Chinese University of Hong Kong, Para. 1-5). AMU and European Union (EU) are similar in that their aims are to improve the economic status of their respective members by making regulations that will enhance effective trade.

However, the difference between the two unions is visible because AMU is a free trade area while the EU is a customs union (Shafeeq Para. 16-19: Hannan Para.1-5). In conclusion, trade unions have benefited much in boosting the world’s economy as they have assisted to eliminate the barriers to trade that barred economic growth.