28. WTO

Question 1

What is the WTO?

Answer 1

World trade organisation (1995) contains 164 countries.

The purpose of the WTO is to ensure that global trade commences smoothly, freely and predictably.

The WTO creates and embodies the legal ground rules for global trade among member nations and thus offers a system for international commerce.

Question 2

What are the specific roles of the WTO?

Answer 2

1. Settling disputes between countries
2. Increasing the value of world trade
3. Implementing and monitoring trade agreements
4. Helping to set up trade agreements

Question 3

.What are the failures of the WTO?

Answer 3

1. There have been far too many few new trade agreements developed.
2. Failure to confront ethical and environmental issues e.g child labour, declining fish stocks.
3. Disputes have taken too long to resolve and have generally favoured powerful nations at the expense of weaker ones.

Question 4

What are the successes of the WTO?

Answer 4

1. Played a key role in stopping trade wars from breaking out.
2. Reduced average tariff size between member countries to approximately 9%.
3. Helped improve global trade policy cooperation

4, Has helped significantly boost levels of international trade.