Jagdish Bhagwati
- Published in print:
- 2008
- Published Online:
- October 2011
- ISBN:
- 9780195331653
- eISBN:
- 9780199851850
- Item type:
- book
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195331653.001.0001
- Subject:
- Economics and Finance, International
This book shines a critical light on preferential trade agreements (PTAs), revealing how the rapid spread of PTAs endangers the world trading system. Numbering by now well over 300, and rapidly ...
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This book shines a critical light on preferential trade agreements (PTAs), revealing how the rapid spread of PTAs endangers the world trading system. Numbering by now well over 300, and rapidly increasing, these preferential trade agreements, many taking the form of free trade agreements, have re-created the unhappy situation of the 1930s, when world trade was undermined by discriminatory practices. Whereas this was the result of protectionism in those days, ironically it is a result of misdirected pursuit of free trade via PTAs today. The world trading system is at risk again, the author argues, and the danger is palpable. Writing with his customary wit, panache and elegance, the author documents the growth of these PTAs, the reasons for their proliferation, and their deplorable consequences which include the near-destruction of the non-discrimination which was at the heart of the postwar trade architecture and its replacement by what he has called the spaghetti bowl of a maze of preferences. The author also documents how PTAs have undermined the prospects for multilateral freeing of trade, serving as stumbling blocks, instead of building blocks, for the objective of reaching multilateral free trade. In short, the author cogently demonstrates why PTAs are “Termites in the Trading System.”Less
This book shines a critical light on preferential trade agreements (PTAs), revealing how the rapid spread of PTAs endangers the world trading system. Numbering by now well over 300, and rapidly increasing, these preferential trade agreements, many taking the form of free trade agreements, have re-created the unhappy situation of the 1930s, when world trade was undermined by discriminatory practices. Whereas this was the result of protectionism in those days, ironically it is a result of misdirected pursuit of free trade via PTAs today. The world trading system is at risk again, the author argues, and the danger is palpable. Writing with his customary wit, panache and elegance, the author documents the growth of these PTAs, the reasons for their proliferation, and their deplorable consequences which include the near-destruction of the non-discrimination which was at the heart of the postwar trade architecture and its replacement by what he has called the spaghetti bowl of a maze of preferences. The author also documents how PTAs have undermined the prospects for multilateral freeing of trade, serving as stumbling blocks, instead of building blocks, for the objective of reaching multilateral free trade. In short, the author cogently demonstrates why PTAs are “Termites in the Trading System.”
Sylvia Ostry
- Published in print:
- 2001
- Published Online:
- November 2003
- ISBN:
- 9780199241828
- eISBN:
- 9780191596834
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/0199241821.003.0009
- Subject:
- Economics and Finance, International
The main changes in the multilateral world‐trading system since and including the GATT Uruguay Round in 1994 are summarized, and the most urgent reforms needed to keep the system going are ...
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The main changes in the multilateral world‐trading system since and including the GATT Uruguay Round in 1994 are summarized, and the most urgent reforms needed to keep the system going are highlighted. The roots of the changes that have occurred are traced to the transformation of the trading system initiated in the Uruguay Round, in which the new issues of intellectual property and services were included; however, the spread of Internet use in the mid‐1990s has been equally important. In addition, there are ongoing changes in the climate of ideas that raise questions about the neoclassical model at the core of economics and trade policy. It is argued that if the rules‐based system is to endure, coping with these changes will require structural reform not only of the WTO (GATT's replacement) but also of the post‐war international architecture.Less
The main changes in the multilateral world‐trading system since and including the GATT Uruguay Round in 1994 are summarized, and the most urgent reforms needed to keep the system going are highlighted. The roots of the changes that have occurred are traced to the transformation of the trading system initiated in the Uruguay Round, in which the new issues of intellectual property and services were included; however, the spread of Internet use in the mid‐1990s has been equally important. In addition, there are ongoing changes in the climate of ideas that raise questions about the neoclassical model at the core of economics and trade policy. It is argued that if the rules‐based system is to endure, coping with these changes will require structural reform not only of the WTO (GATT's replacement) but also of the post‐war international architecture.
Kent Jones
- Published in print:
- 2009
- Published Online:
- October 2011
- ISBN:
- 9780195378825
- eISBN:
- 9780199852598
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195378825.003.0002
- Subject:
- Economics and Finance, Economic Systems
Although the WTO continued what the General Agreement on Tariffs and Trade (GATT) has started, WTO differed from GATT in the following features: the single undertaking in negotiated multilateral ...
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Although the WTO continued what the General Agreement on Tariffs and Trade (GATT) has started, WTO differed from GATT in the following features: the single undertaking in negotiated multilateral trade agreements, panel decisions and their binding nature, and stricter requirements for new members. While the WTO was created to expand membership in the world trading system, to extend trade liberalization, and to strengthen the members' commitment, these modifications have posed problems in the negotiating process which are referred to as “institutional friction”. As it was observed that developing countries had a significant role yet reaped disappointing results in such arrangements, the failures of the Doha Round are said to have been rooted on the Uruguay Round—the trade negotiation setup that is said to have been the most ambitious.Less
Although the WTO continued what the General Agreement on Tariffs and Trade (GATT) has started, WTO differed from GATT in the following features: the single undertaking in negotiated multilateral trade agreements, panel decisions and their binding nature, and stricter requirements for new members. While the WTO was created to expand membership in the world trading system, to extend trade liberalization, and to strengthen the members' commitment, these modifications have posed problems in the negotiating process which are referred to as “institutional friction”. As it was observed that developing countries had a significant role yet reaped disappointing results in such arrangements, the failures of the Doha Round are said to have been rooted on the Uruguay Round—the trade negotiation setup that is said to have been the most ambitious.
Kent Jones
- Published in print:
- 2004
- Published Online:
- September 2011
- ISBN:
- 9780195166163
- eISBN:
- 9780199849819
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195166163.003.0011
- Subject:
- Economics and Finance, Economic Systems
The chapter concludes by summarizing the case for a focused WTO dedicated to trade liberalization, with recommendations for improving the world trading system and rejuvenating the political coalition ...
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The chapter concludes by summarizing the case for a focused WTO dedicated to trade liberalization, with recommendations for improving the world trading system and rejuvenating the political coalition for trade in the face of globalization and nontrade issues. The WTO provides a framework for capturing trade benefits, which can serve as the foundation not only for economic growth and greater prosperity, but also for a more unified world economy. These benefits, in turn, may contribute to greater political stability, progress on human rights and labor standards, and efforts to secure a sustainable global environment.Less
The chapter concludes by summarizing the case for a focused WTO dedicated to trade liberalization, with recommendations for improving the world trading system and rejuvenating the political coalition for trade in the face of globalization and nontrade issues. The WTO provides a framework for capturing trade benefits, which can serve as the foundation not only for economic growth and greater prosperity, but also for a more unified world economy. These benefits, in turn, may contribute to greater political stability, progress on human rights and labor standards, and efforts to secure a sustainable global environment.
Jagdish Bhagwati
- Published in print:
- 2008
- Published Online:
- October 2011
- ISBN:
- 9780195331653
- eISBN:
- 9780199851850
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195331653.003.0003
- Subject:
- Economics and Finance, International
The worries over preferential trade agreements (PTAs) have increased dramatically in the past two decades as PTAs have proliferated. This chapter discusses the consequences of complexity of the ...
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The worries over preferential trade agreements (PTAs) have increased dramatically in the past two decades as PTAs have proliferated. This chapter discusses the consequences of complexity of the resulting trade regime. The Vinerian concerns about the trade diversion that a PTA can cause have yielded by now to “systemic” concerns about PTAs. The systemic problem from discriminatory trade liberalization under PTAs arises in two ways. The trade-unrelated issues are reported. It is hard to speculate the consequences of PTAs with equanimity.Less
The worries over preferential trade agreements (PTAs) have increased dramatically in the past two decades as PTAs have proliferated. This chapter discusses the consequences of complexity of the resulting trade regime. The Vinerian concerns about the trade diversion that a PTA can cause have yielded by now to “systemic” concerns about PTAs. The systemic problem from discriminatory trade liberalization under PTAs arises in two ways. The trade-unrelated issues are reported. It is hard to speculate the consequences of PTAs with equanimity.
Jagdish Bhagwati
- Published in print:
- 2008
- Published Online:
- October 2011
- ISBN:
- 9780195331653
- eISBN:
- 9780199851850
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780195331653.003.0002
- Subject:
- Economics and Finance, International
It is important to first understand that few lay people and policy makers can appreciate the critical difference between preferential trade agreements (PTAs) and genuine multilateral, ...
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It is important to first understand that few lay people and policy makers can appreciate the critical difference between preferential trade agreements (PTAs) and genuine multilateral, nondiscriminatory trade liberalization in order to fully understand the many reasons why PTAs have now turned into a pandemic and a pox on the world trading system. While the First Regionalism was certainly influenced by the European Community's first steps and the program of further steps toward full integration, its main impulse was altogether different. This regionalism struggled, and the Second Regionalism was a howling success from the early 1990s. The many elements that have contributed to the remarkable and deplorable turnaround that marks the Second Regionalism are described.Less
It is important to first understand that few lay people and policy makers can appreciate the critical difference between preferential trade agreements (PTAs) and genuine multilateral, nondiscriminatory trade liberalization in order to fully understand the many reasons why PTAs have now turned into a pandemic and a pox on the world trading system. While the First Regionalism was certainly influenced by the European Community's first steps and the program of further steps toward full integration, its main impulse was altogether different. This regionalism struggled, and the Second Regionalism was a howling success from the early 1990s. The many elements that have contributed to the remarkable and deplorable turnaround that marks the Second Regionalism are described.
Deborah Z. Cass
- Published in print:
- 2005
- Published Online:
- January 2010
- ISBN:
- 9780199285846
- eISBN:
- 9780191713798
- Item type:
- book
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199285846.001.0001
- Subject:
- Law, Private International Law
This is a book about the constitutionalization of the World Trade Organization, and the contemporary development of institutional forms and democratic ideas associated with constitutionalism within ...
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This is a book about the constitutionalization of the World Trade Organization, and the contemporary development of institutional forms and democratic ideas associated with constitutionalism within the world trading system. It is about constitutionalization enthusiasts who promote institutions, management techniques, rights discourse, and quasi-judicial power to construct a constitution for the WTO. It is about constitutional sceptics, who fear the effect the phenomenon of constitutionalization is having on the autonomy of states; the capacity of the WTO to consider non-economic and non-free-trade goals; and democratic processes at the WTO and within the nation-state. The aim of the study is to disentangle debates about the various meanings of the term ‘constitution’ when it is used to apply to the World Trade Organization, and to reflect upon the significance of those meanings for more general international law conceptions of constitutions. It argues that the WTO is not and should not be described as a constitution either by the standards of any received account of that term, or by the lights of any of the current WTO models. Under these definitions, serious issues of legitimacy, democracy, and community are at stake. The WTO would lack a proper political structure to balance the work of its judicial bodies; it may curtail the ability of states to decide matters of national economic interest; it lacks authorization by a coherent political community; and it risks an emphasis upon economic goals and pure free trade over other, equally important, social values. Instead, the book argues that what is needed is a constitutionalized WTO which considers the economic development needs of states and takes account of the skewed playing field of international trade and its effect on the economic prospects of developing countries. In short, trading democracy, legitimacy, and community, and not trading constitutionalization, are the biggest challenges facing the WTO.Less
This is a book about the constitutionalization of the World Trade Organization, and the contemporary development of institutional forms and democratic ideas associated with constitutionalism within the world trading system. It is about constitutionalization enthusiasts who promote institutions, management techniques, rights discourse, and quasi-judicial power to construct a constitution for the WTO. It is about constitutional sceptics, who fear the effect the phenomenon of constitutionalization is having on the autonomy of states; the capacity of the WTO to consider non-economic and non-free-trade goals; and democratic processes at the WTO and within the nation-state. The aim of the study is to disentangle debates about the various meanings of the term ‘constitution’ when it is used to apply to the World Trade Organization, and to reflect upon the significance of those meanings for more general international law conceptions of constitutions. It argues that the WTO is not and should not be described as a constitution either by the standards of any received account of that term, or by the lights of any of the current WTO models. Under these definitions, serious issues of legitimacy, democracy, and community are at stake. The WTO would lack a proper political structure to balance the work of its judicial bodies; it may curtail the ability of states to decide matters of national economic interest; it lacks authorization by a coherent political community; and it risks an emphasis upon economic goals and pure free trade over other, equally important, social values. Instead, the book argues that what is needed is a constitutionalized WTO which considers the economic development needs of states and takes account of the skewed playing field of international trade and its effect on the economic prospects of developing countries. In short, trading democracy, legitimacy, and community, and not trading constitutionalization, are the biggest challenges facing the WTO.
Krista Nadakavukaren Schefer
- Published in print:
- 2005
- Published Online:
- March 2012
- ISBN:
- 9780199285822
- eISBN:
- 9780191700378
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199285822.003.0022
- Subject:
- Law, Public International Law
This chapter addresses the use of the WTO waiver as an instrument for reconciling human rights protection with the international law of the world trade system. The specific context of the waiver for ...
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This chapter addresses the use of the WTO waiver as an instrument for reconciling human rights protection with the international law of the world trade system. The specific context of the waiver for the Kimberley Process Scheme is used. After a short introduction to the diamond trading system, the first section continues with informational background on several of the wars in Africa in which diamond trading by rebel militias has been prevalent and detrimental to the civilian population. The second section describes the Kimberley Process Scheme for the Certification of Rough Diamonds. The third section addresses the trade and human rights problem and the Kimberley Process's ‘solution’ of securing a waiver of Participants' WTO obligations.Less
This chapter addresses the use of the WTO waiver as an instrument for reconciling human rights protection with the international law of the world trade system. The specific context of the waiver for the Kimberley Process Scheme is used. After a short introduction to the diamond trading system, the first section continues with informational background on several of the wars in Africa in which diamond trading by rebel militias has been prevalent and detrimental to the civilian population. The second section describes the Kimberley Process Scheme for the Certification of Rough Diamonds. The third section addresses the trade and human rights problem and the Kimberley Process's ‘solution’ of securing a waiver of Participants' WTO obligations.
Ernst-Ulrich Petersmann
- Published in print:
- 2005
- Published Online:
- March 2012
- ISBN:
- 9780199282623
- eISBN:
- 9780191700224
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199282623.003.0001
- Subject:
- Law, Public International Law
This book examines some of the defects and needs for reform in the current world trading system, which focuses on the World Trade Organization (WTO). The subtitle of this book — Legitimacy, ...
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This book examines some of the defects and needs for reform in the current world trading system, which focuses on the World Trade Organization (WTO). The subtitle of this book — Legitimacy, Efficiency, and Democratic Governance — is very descriptive of the intent of the book's author and director, Professor Petersmann, and his view of the endeavour. This book is the result of three international conferences on Preparing the Doha Development Round. In each of these conferences, leading academics presented papers on the various subjects of the Doha Development Round of the WTO entailing stimulating discussions among WTO ambassadors, other practitioners from developed and less-developed WTO member countries, economists, political scientists, and legal academics. This volume examines some important institutional questions, such as the ‘political legitimacy’ of the WTO system. It looks particularly at the degree to which the system protects consumer welfare, and how that goal of the system could be evaluated.Less
This book examines some of the defects and needs for reform in the current world trading system, which focuses on the World Trade Organization (WTO). The subtitle of this book — Legitimacy, Efficiency, and Democratic Governance — is very descriptive of the intent of the book's author and director, Professor Petersmann, and his view of the endeavour. This book is the result of three international conferences on Preparing the Doha Development Round. In each of these conferences, leading academics presented papers on the various subjects of the Doha Development Round of the WTO entailing stimulating discussions among WTO ambassadors, other practitioners from developed and less-developed WTO member countries, economists, political scientists, and legal academics. This volume examines some important institutional questions, such as the ‘political legitimacy’ of the WTO system. It looks particularly at the degree to which the system protects consumer welfare, and how that goal of the system could be evaluated.
Ian W. McLean
- Published in print:
- 2012
- Published Online:
- October 2017
- ISBN:
- 9780691154671
- eISBN:
- 9781400845439
- Item type:
- book
- Publisher:
- Princeton University Press
- DOI:
- 10.23943/princeton/9780691154671.001.0001
- Subject:
- Economics and Finance, Economic History
This book is the first comprehensive account of how Australia attained the world's highest living standards within a few decades of European settlement, and how the nation has sustained an enviable ...
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This book is the first comprehensive account of how Australia attained the world's highest living standards within a few decades of European settlement, and how the nation has sustained an enviable level of income to the present. Beginning with the Aboriginal economy at the end of the eighteenth century, the book argues that Australia's remarkable prosperity across nearly two centuries was reached and maintained by several shifting factors. These included imperial policies, favorable demographic characteristics, natural resource abundance, institutional adaptability and innovation, and growth-enhancing policy responses to major economic shocks, such as war, depression, and resource discoveries. Natural resource abundance in Australia played a prominent role in some periods and faded during others, but overall, and contrary to the conventional view of economists, it was a blessing rather than a curse. The book shows that Australia's location was not a hindrance when the international economy was centered in the North Atlantic, and became a positive influence following Asia's modernization. Participation in the world trading system, when it flourished, brought significant benefits, and during the interwar period when it did not, Australia's protection of domestic manufacturing did not significantly stall growth. The book also considers how the country's notorious origins as a convict settlement positively influenced early productivity levels, and how British imperial policies enhanced prosperity during the colonial period. It looks at Australia's recent resource-based prosperity in historical perspective, and reveals striking elements of continuity that have underpinned the evolution of the country's economy since the nineteenth century.Less
This book is the first comprehensive account of how Australia attained the world's highest living standards within a few decades of European settlement, and how the nation has sustained an enviable level of income to the present. Beginning with the Aboriginal economy at the end of the eighteenth century, the book argues that Australia's remarkable prosperity across nearly two centuries was reached and maintained by several shifting factors. These included imperial policies, favorable demographic characteristics, natural resource abundance, institutional adaptability and innovation, and growth-enhancing policy responses to major economic shocks, such as war, depression, and resource discoveries. Natural resource abundance in Australia played a prominent role in some periods and faded during others, but overall, and contrary to the conventional view of economists, it was a blessing rather than a curse. The book shows that Australia's location was not a hindrance when the international economy was centered in the North Atlantic, and became a positive influence following Asia's modernization. Participation in the world trading system, when it flourished, brought significant benefits, and during the interwar period when it did not, Australia's protection of domestic manufacturing did not significantly stall growth. The book also considers how the country's notorious origins as a convict settlement positively influenced early productivity levels, and how British imperial policies enhanced prosperity during the colonial period. It looks at Australia's recent resource-based prosperity in historical perspective, and reveals striking elements of continuity that have underpinned the evolution of the country's economy since the nineteenth century.
Thomas Gehring
- Published in print:
- 2011
- Published Online:
- August 2013
- ISBN:
- 9780262015912
- eISBN:
- 9780262298346
- Item type:
- chapter
- Publisher:
- The MIT Press
- DOI:
- 10.7551/mitpress/9780262015912.003.0009
- Subject:
- Political Science, Environmental Politics
Trade and the environment’s institutional dynamics are the main focus of the chapter. The chapter discusses the multilateral environmental agreements’ (MEAs) relationship with the world trade system ...
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Trade and the environment’s institutional dynamics are the main focus of the chapter. The chapter discusses the multilateral environmental agreements’ (MEAs) relationship with the world trade system and their influence on each other’s work, along with the evolvement of interlocking structures from the international institution’s interaction. It analyzes the institutional interaction’s causal mechanism micro-concept and the interlocking governance structure’s macro-concept in detail. The disruptive interaction between the World Trade Organization and MEAs leading to division of labor among the institutions is examined. The evolvement of a coherent interlocking governance structure is seen in trade and the environment’s institutional complex, which would limit the adverse interaction between the component institutions.Less
Trade and the environment’s institutional dynamics are the main focus of the chapter. The chapter discusses the multilateral environmental agreements’ (MEAs) relationship with the world trade system and their influence on each other’s work, along with the evolvement of interlocking structures from the international institution’s interaction. It analyzes the institutional interaction’s causal mechanism micro-concept and the interlocking governance structure’s macro-concept in detail. The disruptive interaction between the World Trade Organization and MEAs leading to division of labor among the institutions is examined. The evolvement of a coherent interlocking governance structure is seen in trade and the environment’s institutional complex, which would limit the adverse interaction between the component institutions.
James Harrison
Ernst-Ulrich Petersmann (ed.)
- Published in print:
- 2005
- Published Online:
- March 2012
- ISBN:
- 9780199282623
- eISBN:
- 9780191700224
- Item type:
- book
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780199282623.001.0001
- Subject:
- Law, Public International Law
The 1994 agreement establishing the World Trade Organization (WTO) regulates over 95% of world trade amongst 148 member countries. The November 2001 Declaration of the Fourth Ministerial Conference ...
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The 1994 agreement establishing the World Trade Organization (WTO) regulates over 95% of world trade amongst 148 member countries. The November 2001 Declaration of the Fourth Ministerial Conference of the WTO in Doha, Quatar, launched the Doha Development Round of multilateral trade negotiations in the WTO on twenty-one topics aimed at far-reaching reforms of the world trading system. On August 1st 2004, the WTO General Council reached agreement on a detailed Doha Work program. This volume provides discussion and policy recommendations by leading WTO negotiators and policy-makers, and analysis by leading economists, political scientists, and trade lawyers on the major subjects of the Doha Round negotiations. Over thirty contributors explore the complexity of the world trading system and of the WTO negotiations for its reform from diverse political, economic, and legal perspectives.Less
The 1994 agreement establishing the World Trade Organization (WTO) regulates over 95% of world trade amongst 148 member countries. The November 2001 Declaration of the Fourth Ministerial Conference of the WTO in Doha, Quatar, launched the Doha Development Round of multilateral trade negotiations in the WTO on twenty-one topics aimed at far-reaching reforms of the world trading system. On August 1st 2004, the WTO General Council reached agreement on a detailed Doha Work program. This volume provides discussion and policy recommendations by leading WTO negotiators and policy-makers, and analysis by leading economists, political scientists, and trade lawyers on the major subjects of the Doha Round negotiations. Over thirty contributors explore the complexity of the world trading system and of the WTO negotiations for its reform from diverse political, economic, and legal perspectives.
Gary Hufbauer and Tyler Moran
- Published in print:
- 2017
- Published Online:
- March 2017
- ISBN:
- 9780198796749
- eISBN:
- 9780191837975
- Item type:
- chapter
- Publisher:
- Oxford University Press
- DOI:
- 10.1093/acprof:oso/9780198796749.003.0011
- Subject:
- Economics and Finance, Macro- and Monetary Economics, International
The United States has played an essential role in driving the agenda for the world trading system since World War II. An important component of that agenda has been the liberalization of government ...
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The United States has played an essential role in driving the agenda for the world trading system since World War II. An important component of that agenda has been the liberalization of government procurement, with the first plurilateral agreement signed in 1979 as part of the Tokyo Round. Since then, procurement has become a staple of other trade agreements, both in the WTO and in bilateral and regional pacts. This chapter outlines the government procurement commitments the United States has sought from its trading partners and the commitments which the US made in return, with a particular focus on how these positions have evolved over time.Less
The United States has played an essential role in driving the agenda for the world trading system since World War II. An important component of that agenda has been the liberalization of government procurement, with the first plurilateral agreement signed in 1979 as part of the Tokyo Round. Since then, procurement has become a staple of other trade agreements, both in the WTO and in bilateral and regional pacts. This chapter outlines the government procurement commitments the United States has sought from its trading partners and the commitments which the US made in return, with a particular focus on how these positions have evolved over time.
