Single market

[1] The physical (borders), technical (standards) and fiscal (taxes) barriers among the member states are removed to the maximum extent possible.

It requires the total free movement of goods and services, capital and people without regard to national boundaries.

A common market allows for the free movement of capital and services but large amounts of trade barriers remain.

However non-tariff barriers to trade remain, such as differences between the Member States' rules on product safety, packaging requirements and national administrative procedures.

For example, the sovereign states of the United States do to some degree have different local economic regulations (e.g. licensing requirements for professionals, rules and pricing for utilities and insurance, consumer safety laws, environmental laws, minimum wage) and taxes, but are subordinate to the federal government on any matter of interstate commerce the national government chooses to assert itself.

[citation needed] This is true especially for companies selling goods and services easily distributed all around the countries of single market.

[citation needed] Single market play significant role in increasing prosperity of nations involved in this area.

Transition to a single market can have a negative impact on some sectors of a national economy due to increased international competition.