The WTO

Question 1

What is the World Trade Organization (WTO)?

Answer 1

The WTO is an international organization that promotes free trade by persuading countries to abolish tariffs and other trade barriers.

Question 2

What is trade liberalization?

Answer 2

Trade liberalization refers to a move towards greater free trade through the removal of trade barriers.

Question 3

What are commodities?

Answer 3

Commodities are products that can be sold to make a profit, especially ones in their basic form before they have been used or changed in an industrial process.

Question 4

What is the role of the WTO?

Answer 4

The WTO polices free trade agreements, settles disputes between governments, organizes trade negotiations, and aims to reduce/eliminate trade barriers through the negotiations.

Question 5

What is the criticism of the WTO’s rules?

Answer 5

They are written by and for corporations, ignoring the views of consumers, human rights, labor organizations, and environmentalists.

Question 6

What is the reason for the increase in world trade?

Answer 6

• better transport and communications
• the relaxing of trade barriers
• the development of multinationals
• travel and consumer awareness
• trade agreements

Question 7

What is the impact of trade in developed countries?

Answer 7

a loss of trade in the manufacturing sector
more air travel
the widening of the development gap.

Question 8

What are the activities of the WTO?

Answer 8

trade negotiations
implementation and monitoring
settling trade disputes
building membership.