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Trade Among Islamic Countries

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Is a multilateral trading system based on World Trade Organization "OIC" rules preferable to trade regulated by bilateral treaties between (Arab & Muslim) governments? Why is trade between member countries of the Organization of the Islamic Cooperation is so limited?

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https://brainmass.com/economics/international-economics/trade-among-islamic-countries-582039

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Step 1

A multithreading system based on World Trade Organization rules is preferable to trade regulated by bilateral treaties between Arab and Muslim government. The bilateral trade treaties between Arab and Muslim governments are not preferable because it excludes trade with other countries, especially with the non-Arab and non -Muslim governments. This severely limits the scope of trade between Arab and Muslim governments. This exclusion leads to market distortions. The Arab and Muslim countries have to suffer because of ...

Solution Summary

This solution explains why bilateral agreements among Islamic countries have limited scope when compared with multilateral agreements. The sources used are also included in the solution. References are provided.

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