Hello, I need help with the following analysis of the World Trade Organization (WTO). In your analysis, include the following:
- Explain its role in promoting international trade.
- Cite at least one recent example reflecting the organization's involvement in promoting international trade.
- Compare and contrast the role of the WTO with that of a regional organization, such as the Asian Development, African Development Bank, Latin American Development Bank, and the European Bank for Reconstruction and Development.
ROLE IN PROMOTING INTERNATIONAL TRADE
WTO plays an important role in promoting international trade in several ways. It lays down the rules of international trade and helps in implementing new trade agreements. It also ensures that the trade agreements of the WTO are adhered to. WTO encourages commitment to liberalize trade. The system ensures that a government does not go back on its policies of liberalization.
In every country, there are different interest groups, WTO promotes international trade by protecting the government from acceding to interests groups and clamping restrictions on trade. In this way the threat from protectionism is obviated. The WTO system is such that it helps the economy that joins it. It improves efficiency, decreases cost and improves the economy as a whole. The result is the countries comply with WTO agreements and this promotes international trade. In addition, the WTO system is such that the national income increases, there are technological advances and there is a higher rate of employment. The result is that economic growth is stimulated in countries and they increase international trade.
One of the most important trade increasing roles of the WTO is its role in resolving international disputes. As international trade increases, the act of WTO in constructively and impartially resolving disputes leads to a promotion of international trade. The WTO is instrumental in creating an environment where there is a growth of international trade. The WTO reduces inequalities among countries and gives small countries greater voice in negotiations. The rules of WTO help a great deal in promoting international trade.
WTO's policies of promoting international trade have brought several benefits. The cost of living in the ...
This answer provides an excellent discussion on World Trade Organization, including their role in promoting international trade and comparison with a regional organisation, in 1078 words with 7 references.