Final answer:
LAIA and LAFTA are both Latin American economic integration efforts; LAFTA focused on establishing a free trade area and was succeeded by LAIA, which has a wider goal of economic cooperation and is more flexible in its integration approach.
Step-by-step explanation:
The difference between LAIA (Latin American Integration Association) and LAFTA (Latin American Free Trade Association) primarily lies in their objectives and membership evolution over time.
LAFTA, established in 1960, aimed to create a free trade area amongst Latin American countries, but it faced several challenges and was eventually replaced by LAIA in 1980.
LAIA has a broader scope of economic integration, which includes not only free trade but also economic cooperation and development among its member countries.
It introduced a more flexible approach, allowing member countries to proceed with integration at their own pace. Unlike LAFTA, which was inflexible and consequently less successful, LAIA's approach has been more enduring and adaptable to the economic realities of Latin America.