The Pros And Cons Of The International Trade Organization

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The origin of the world trade organization goes way back to 1947 as the original intention was to create a third another institution that could handle the trade side of international economic cooperation. 50 countries were in participation to create the International Trade Organization (ITO) which would be an specialized agency of the unaired nations. The main purpose was to create the ITO at a UN conference on trade and employment in Havana, Cuba in 1947. However 15 countries were in talks on December 1945 to decrease and attach custom tariffs. With the second world war freshly ending, there was an urgency to enhance trade liberalization, and begin to improve the traditions of protectionist measures that was passed on from the 1930s. The …show more content…
One such criticism has been that free trade benefits developed countries more than developing countries. Another criticism was free trade ignores cultural and social factors. Many believe that enabling free trade it reduces cultural diversity which in turn affects many local industries and firms. Another big criticism of the WTO is the environment as environmental considerations have been largely ignored. As countries with less environmental protection than others imports are being made from them. Some people believe that more emphasis needs to be placed on the environment from WTO. One of the major things the WTO has struggled with has been transparency as when it comes to settling disputes its never clear which nations are involved in the decision making process. Some believe this allows them to exploit and manipulate less developed nations while protecting the larger markets. This has also played a big role as WTO has failed many of the developing countries. Some key aspects include agricultural subsidies which members of the WTO haven 't come to an agreement on how to decrease the amount paid to rich farmers. Another one is trade agreements which have allowed many of richer states have been able to manipulate the poor ones by the WTO not clarifying rules on trade agreements. Many countries cannot afford medicine due to governments protecting public health and protecting property rights of pharmaceutical companies. Legal cost have also been a issue as the WTO has claimed to improve access to its legal system however, there have been no signs of improvement so far. Decision-making also seems to be an ongoing issue has the WTO makes its decisions by an consensus with over 153 countries. One extreme problem with this is coming to an decision with so many countries is impossible especially

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