The Role of Economic Regionalism in Boosting Basics of Universal Trade: An Appraisal of the EU and the NAFTA's Function

Economic regionalism in form of regional trade agreements has been dramatically increased since early 1990. These agreements may confer several possible benefits on their partners, including credibility, bargaining power, insurance, and coordination. These diverse agreements range from customs unions to free trade areas to nonreciprocal preferential agreements and differ substantially in their scope and treatment of issues such as labor and capital mobility, investment, and trade on goods as well services.This article addresses the costs and benefits of regional agreements for the order of universal trade through descriptive- analytic way. It focuses on the international law including related international instruments too. It concludes by examining the achievements and effects of North American Free Trade Agreement and the Europe Agreements notably European union. In doing so functions of the mentioned regional arrangements will be taken in to account.This essay shall not only to examine the constructive evolution of economic regionalism by assessment of its interrelation and conflict with the order of universal trade and the negative effects this increasing process faces with, but also to suggest that Economic regionalism may result in progress of universal economy security.