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It means, the free flow of goods and services across nations frontiers, without any restrictions or interference of laws. As a matter of fact, this policy is increasingly used since the end of world war II, especially with the "GATT", trade barriers have continuously developed.
Free trade policies generally promote the following features: Trade of goods without taxes (including tariffs) or other trade barriers (e.g., quotas on imports or subsidies for producers) Trade in services without taxes or other trade barriers.
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