The Impact Of Trade Liberalization Of The World Trade Organization

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The only thing worse than World Trade Organization is no World Trade Organization. I view this statement as true in relation to the benefits brought to the agriculture sector due to trade liberalization of the World Trade Organization (WTO). One of the major oversights of the WTO concerns the implementation and creation of trade deals regarding agriculture products. Agriculture may not represent a great percentage of the economy today, but it still directly impact many and viewed as an important factor of a nations GDP. The concept of WTO is like other International governmental organization that relies solely on the cooperation of the state, as states give up part of their sovereignty to the IGO. IGO actions depend on the nation state, thus, …show more content…
The mandate of the WTO is to “administer and implement… act as a forum… administer arrangements for the settlement of disputes, review national trade policies and cooperate… to achieving greater coherence in global economy policy making” (Blackhurst 46). The mandate of the WTO encompasses all aspect of trade to ensure trade wars are idle. The effect of globalization is reflected in the transition of the constitution from GATT to the WTO. As WTO included more objectives, more security is provided security for transactions that transcends borders. Membership in the WTO is obtained through the acceptance of all its agreement as a package. Through enforcement of acceptance of the full package it allows for the application of the same standard to all nations. The increasing security provided by the growth of the mandate and the secretariat, gave nations a reason to cooperate. Consequently, through becoming a member, a nation has to give up parts of its sovereignty in its ability to dictate trade policy. For realist, nations’ cooperation is the only reason why international governmental organization is able to operate. As international governmental organization (IGO) rely heavily on member states, it itself becomes a platform for the members to further their nation’s own interest. Under the Agreement on Agriculture (AOA) a section of the obligation signed by all WTO members, are 3 mandates. The 3 mandates are; market access, export subsidies and domestic support (Rosset 81-83). Market access is achieved through states’ removal of quantitative barriers. Domestic barriers are policies levied by the government to control for the amount of foreign goods imported. Export subsidies are to be decreased to ensure that a more equal playing field, as government’s legislate policies that encourages firms to export their goods foreignly. Export subsidies such as tax cuts

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