Supranational Bodies Flashcards
Types of supranational body
International institutions –> WTO
International/ regional trade blocs –> EU
What is a supranational body?
It is a liberalizing organization that operated beyond the jurisdiction of state. It formulates, regulates and monitors global policies which in turn affects trade and development in countries as these countries embrace globalization.
What is WTO?
It is a liberalizing organization set up by capitalist and market oriented economies to organize world trade
Main aim was to bring together countries of various custom unions and provide them the opportunity to make the decision to make multi lateral trade agreements
Wanted to reduce trade tariffs and to increase trading among member nations
What is the GTAA
Created in 1995 and was aimed to reduce trade tariffs and provide a platform for discussion for international trade
Aims of WTO
To allow producers of goods and services establish business goals while helping governments meet their social and environmental goals
But at certain circumstances maintain trade barriers to protect consumers for the spread of diseases
P1 China opened its door to foreign trade and recieved a large inward investments, creating employment opportunities
However as it had a ready supply of skilled and semi skilled labour, some firms took the opportunity to adopt the policy of cheap employment and hence exploiting the workers. Firms benefited as they reduced cost of production while workers were paid in pittance
P2 China was able to trade to places that they have never been able to before. Hence with a increase in volume of trade, China’s revenue increases. Monopolized the toy making and textile industry
However other countries suffered a decline especially in the manufacturing sector and china was able to export cheap yet durable goods of good quality. Eventually causing the dumping of goods in the western and European market
Benefitted from a high technology transfer for the west
However the technology that was brought to China was was low technology so it did not gain access to higher technology
Enjoys large variety of goods and services ranging from fashion designer clothes to technology and machinery. Increasing their standard of living especially In the urban areas
However there was an erosion of Chinese traditional culture and western values pervaded more than before.
McDonald teaching to patronize unhealthy food
Soda replacing traditional Chinese tea
Increase in obesity in the young
Many Chinese business men became. I,lion ares and there are more millionaires than ever before
Increase the large income gap and differences in the lifestyles were evident. Most firms set up factories In the cities so most of the young moved to cities for employment, neglecting the rural areas
China swathe establishment of many factories to tap onto the large market available of 1.4 billion people
However these eland to environmental issues as land had to he cleared for these industries tone built and had to resort to other types of harnessing energy
Young people siezed the opportunity to work in th cities, leaving behind their children in the care of th grandparents. Income for working I the cities were twice the amount than working on farms and the sending of remittance from the city to the rural areas, relieved some financial burden in the rural areas
However the grandparents spoiled the children when the parents are working. Hence they lacked disciplined as they were usually the only children In the family. These ‘you g emperors’ posed social problems and played truant.
What Is the EU
It is a supranational body that binds various European nations
After WW2 was set up to integrate main European powered to ensure that a further war was not possible
Includes free circulation of goods and services within EU and common tax tariffs on external goods coming in
EU was able to
Integrate the European countries
Develop European economies
Increase globalization
Ensure food security
Protect the environment
Ensure that Europe was peaceful
Creation of a single market
Slovakia as a automobile powerhouse
