During the interwar period, economic protectionism prevailed in the United States, best known in the form of the Smoot-Hawley Tariff Act, linked by economists to the spread and spread of the Great Depression around the world. :33 Beginning in 1934, trade liberalization began with the Trade Agreements Act. Free trade agreements, which are free trade areas, are generally outside the scope of the multilateral trading system. However, WTO members must inform the secretariat when concluding new free trade agreements and, in principle, the texts of free trade agreements are subject to review by the Committee on Regional Trade Agreements.  Although a dispute that arises within free trade areas is not the subject of disputes before the WTO Dispute Settlement Body, “there is no guarantee that WTO panels will comply with it and refuse to exercise jurisdiction in a given case.”  For example, one nation could allow free trade with another nation, with the exception of exceptions that prohibit the importation of certain drugs that are not authorized by its regulatory authorities, animals that have not been vaccinated, or processed foods that do not meet their standards. Most economists would agree that, while increasing economies of scale could mean that a particular sector could expand into a given geographic area without any strong economic reason being derived from comparative advantages, this is not a reason to argue against free trade, given that the absolute level of output, valued by both winners and losers, Increases. the winner earns more than the loser, but both earn more than before at an absolute level. [Citation required] There are important distinctions between customs unions and free trade areas. Both types of trading blocs have internal agreements that the parties conclude to liberalize and facilitate trade between them. The key difference between customs unions and free trade areas is their treatment vis-à-vis third parties[clarification of concepts required]. While a customs union requires all parties to set and maintain identical external tariffs for trade with non-parties, parties to a free trade area are not subject to such a requirement. Instead, they may import and maintain the customs procedure applicable to imports from non-Parties which they deem necessary.  In a free trade area without harmonized external customs duties, the Parties will adopt a system of preferential rules of origin to eliminate the risk of relocation.
 As soon as the agreements go beyond the regional level, they need help. The World Trade Organization is intervening on this point. This international body contributes to the negotiation and implementation of global trade agreements. In March 1801, Pope Pius VII, together with the Motu proprio Le più colte, ordered a certain liberalization of trade to deal with the economic crisis in the ecclesiastical state. Despite this, the export of domestic corn was banned to ensure the food of the ecclesiastical state. According to mainstream economic theory, the selective application of free trade agreements to some countries and tariffs on others can lead to economic inefficiency through the process of trade diversion. . . .