MULTILATERAL: I. WTO Flashcards
only formal and international organization, composed of member governments, dealing with the rules of trade between nations
World Trade Organization
Main approach that WTO members have adopted to promote economic growth and development
trade liberalization
What are the two Bretton Woods Institutions?
World Bank (WB)
International Monetary Fund (IMF)
The history of the WTO begins with the signing of the ____________________in 1947 which provided the rules for the bulk of world trade and presided over periods that saw some of the highest growth rates in international trade.
General Agreement on Tariffs and Trade (GATT)
Failure of the creation of the _________________, the GATT served as an interim organization and took the functions originally intended for the organization.
International Trade Organization
T/F
The GATT trade rounds focused on reducing tariffs. The following GATT trade rounds covered not only tariffs, but also other trade barriers.
TRUE
The Uruguay Round (UR), was the most comprehensive round (among the 8 rounds) that eventually led to the creation of the _________________ and the current set of _____________.
WTO
WTO Agreements
When did the WTO enter into force?
instituted on January 1, 1995
What is the WTO present membership?
164 countries with the newest members being Liberia and Afghanistan
What are the main objectives of WTO?
- to raise living standards
- to ensure full employment
- to ensure a large and steadily growing volume of real and effective demand
- to expand the production of and TIG and services with the objective of sustainable development
- to make positive efforts to ensure that countries secure a share in the growth in international trade commensurate with economic development
what are the functions of the WTO?
- to facilitate the implementation, administration and operation, and further the objectives of the WTO Agreements through its bodies and committees;
- to serve as a forum for trade negotiations;
- to serve as a forum for Members to settle their disputes;
- to review Members’ trade policies;
- to coordinate with relevant international organizations in global economic policymaking, including the WB and the IMF; and
- to provide technical assistance and capacity building for developing and least- developed countries.
what are the fundamental principles of the WTO?
- Non-discrimination
- More open trade
- Transparency and predictability
- Special and differential treatment for less developed members
members shall not discriminate between their trading partners (MFN principle); or between national and foreign like products, services, or nationals (national treatment principle).
non-discrimination
involves efforts in reducing or eliminating obstacles to trade.
more open trade
traders and Members need to know trade rules around the world (transparency) and that trade measures will not be raised/introduced arbitrarily (predictability)
transparency and predictability
developing and least developing Members face particular challenges when dealing with trade liberalization; therefore, they are provided greater flexibility, given more time to adjust to the rules, and granted other special rights.
Special and differential treatment for less developed Members
who is the highest decision body of the WTO
Ministerial Conference (MC)
Ministerial Conference (MC) shall meet _____________ to review the ongoing work, provide political guidance and direction to that work, and set the agenda for further work as necessary
a. once a year
b. twice a year
c. once every two years
d. twice every two years
c. once every two years
The Ministerial Conference is compose of the ____________of all the Members.
a. policy ministers
b. trade ministers
c. policy ambassadors
d. trade ambassadors
b. trade ministers
The ____________ is compose of representatives from all members: they are usually Members’ Ambassadors or Permanent Representatives based in Geneva.
a. Ministerial Conference
b. General Council
c. Councils
d. Subsidiary Bodies
b. General Council
T/F
The GC has authority over the Trade Negotiations Committee (TNC), which is in-charge of the negotiations mandated by the Doha Development Agenda (DDA).
True
the General Council also meets as ______________ and _______________
- Dispute Settlement Body (DSB)
- Trade Policy Review Body (TPRB)
establishes panels of independent experts to resolve the disputes, adopts the rulings of the panels, and oversees the implementation of those rulings
General Council as Dispute Settlement Body (DSB)
administers trade policy reviews as mandated by the Trade Policy Review Mechanism of the WTO
General Council as Trade Policy Review Body (TPRB)
