Q. Consider the following:
1.Increase in trade between the nations
2.Cheaper import and export of goods and services
3.Decrease in foreign investments
Which of the above are the impact of Free Trade Agreements (FTAs)?

[A] 1 and 2 only

[B] 2 and 3 only

[C] 1 and 3 only

[D] 1, 2 and 3

Answer: A

Explanation – FTAs help in enhancement of the trade, reduce tariff allows cheaper goods and service, and it attracts more foreign investments.

Source: ForumIAS