Considering the both the advantages and shortcomings by bilateral agreements, the United States continues these relationships under the bilateral agreements. The reason is simple because bilateral agreements can bring the opportunity for US economy to grow and stay as the leader of world economy, the disadvantages in bilateral agreements can be managed if the United States can have appropriate policies and actions. Question II: With regards to the various agreements/treaties discussed: EU, WTO, NAFTA, CARICOM, APEC, MERCOSUR and ASEAN 2.1. Discuss any pending applications, candidate countries or associate members: The multilateral agreements and international organizations have significant influences on the development of the member countries as well as world economy as well. Currently, EU, WTO, NAFTA, APEC, MERCOSUR and ASEAN are the famous multilateral agreements and international organizations. Accession to these multilateral agreements or international organizations for one country is a long – time process in which the country application can be impacted by several political and economic factors to access whether the candidate countries are aligned with the principles of the organizations or agreements.
International Business MBA 6601_Unit VI 2 Among these, the EU and WTO have huge impacted in world economy. - European Union: although accounting for only 7.1% of the population and 2.2% of the world area, the EU always occupies a high position in the world economic indicators. The EU accounts for the highest proportion of the world GDP (31%), 1.1 times higher than the US and 2.8 times Japan (Cecilia Klein, 2017) - World Trade Organization: since its inception in 1995, the WTO has always played a pivotal role in ensuring healthy international trade. It can be affirmed that the WTO is the organization that regulates global trade at the last and highest level. The pending application of Turkey to EU Turkey officially participated into the negotiation process to join the EU from October 2005, but progress has been very slow. One major reason preventing Turkey's prospects for joining EU is judicial and economic conditions of the country are declining. Accordingly, in its annual report assessing Turkey's efforts to join the EU, the European Commission emphasized that the process is currently "frozen" due to Ankara's "serious violation" of a number of issues, including independence of the judiciary and economic stability policy. The Turkish government has "had a negative impact" on the financial market, while continuing to violate economic policies, causing EC to be deeply concerned about the functioning of the market economy. Another reason stated by European Commission is the human rights were not protected in Turkey due to several intense situations in the past few years. The European Union has criticized the Turkish authorities' reaction to mass arrests and several other harsh measures, and suspended preparations for the opening of the negotiations. new in Turkey's European Union membership profile.