Complaints referred to the dispute settlement body

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complaints referred to the Dispute Settlement Body, composed of all member states appoints a panel of experts in consultation with all parties to the dispute panel investigates, issues a report that becomes a ruling within 60 days The United States is the most frequent defendant at the WTO RTA’s← Regional Trade Agreements (ex. NAFTA): agreements among three or more countries in a region to reduce barriers to trade among themselves The European Union--started in 1958 as a customs of union of six countries and now encompasses 28 nations in a single market the North American Free Trade Agreement (NAFTA)--made up of the United States, Canada, and Mexico Mercosur--originally composed of Argentina, Brazil, Paraguay, and Uruguay Politics over International Trade Collective action problems - Obstacles to cooperation that occur when actors have incentives to collab but each acts in anticipation that others will pay the cost of cooperation. Free ride -consuming more than their fair share of resources without consequences. something like that E x. not helping create this review but just using it Diffuse benefits concentrated costs Regime type and representation Trade promotion authority - power granted to the president by congress, that allows the president to negotiate trade Smaller Groups: protectionist Larger groups: openness The president tends to favor greater trade than Congress. (President represents a larger group than Congress does) Same logic works for autocracies and democracies: Autocracies (less trade) vs Democracies (more trade) Prisoner’s Dilemma Countries are unwilling to lower trade barriers because other countries also won’t lower trade barriers. By both of them keeping trade barriers production is less
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efficient overall and products are more expensive. If they both decide to lower trade barriers they would both be better off. But if just one country lowers their trade barriers they will suffer. Solutions to PD: - Small Numbers - Repeated Interactions - More Information - Linkages: Linking the issue that you are bargaining over with something else to make for a more sustainable bargain Negotiating Reciprocity Linkage Principal supplier small numbers EX: Principal suppliers of US are the only ones who get to negotiate reduces number of players and increases cooperation Most favored nation amount of information Required to place same regulations and same best treatment for all others involved increase info. flow there will be uniformity TPR and dispute settlement - what’s TPR← yes please what is TPR????? TPR is a review of a state’s policies s It means trade policy review everyone knows everyone else’s policies report card Negotiation rounds repetition repeated interactions
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