Trade liberalization
This presentation is the property of its rightful owner.
Sponsored Links
1 / 8

Trade Liberalization PowerPoint PPT Presentation


  • 94 Views
  • Uploaded on
  • Presentation posted in: General

Trade Liberalization. International Approach GATT WTO Regional Approach EU NAFTA. General Agreement on Tariffs and Trade The Agreement MFN Clause No Quotas Settlement of Trade Disputes Sponsorship of Multi-national Tariff Reduction Negotiations. The World Trade Organization

Download Presentation

Trade Liberalization

An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -

Presentation Transcript


Trade liberalization

Trade Liberalization

International Approach

GATT

WTO

Regional Approach

EU

NAFTA


The international approach

General Agreement on Tariffs and Trade

The Agreement

MFN Clause

No Quotas

Settlement of Trade Disputes

Sponsorship of Multi-national Tariff Reduction Negotiations

The World Trade Organization

Rules and Standards for Trade Policy

Settlement of Trade Disputes

Sponsorship of Multi-national Tariff Reduction Negotiations

The International Approach


Avg cuts in tariffs 1934 1993

Avg. Cuts in Tariffs 1934 - 1993

  • Pre-GATT1934-194733.2%

  • First Round194721.1

  • Second Round1949 1.9

  • Third Round1950-51 3.0

  • Fourth Round1955-56 3.5

  • Dillon Round1961-62 2.4

  • Kennedy Round1964-6736.0

  • Tokyo Round1974-197929.6

  • Uruguay Round1986-199333.3


The world trade organization

The World Trade Organization

The WTO was created in 1995 to act as a forum for trade negotiations and serve as an impartial international court to resolve trade disputes.

The WTO has had trouble with both roles:

  • The big boys (U.S. and E.U.) can’t agree.

  • The little guys feel cheated


The regional approach

The Regional Approach

The regional approach to trade liberalization requires some degree of economic integration.

Economic integration is the process of abolishing discrimination among economic units belonging to different states by forming trade blocs.


Types of economic blocs

Types of Economic Blocs

  • A Free Trade Area

    • Tariffs among the participating countries are abolished, but each country retains its own tariffs against nonmembers. NAFTA

  • A Customs Union

    • Tariffs among the participating countries are abolished, and tariffs against nonmembers will be equalized.


Types of economic blocs1

Types of Economic Blocs

  • A Common Market

    • Tariffs among the participating countries are abolished, a common set of external restrictions is adopted, and restrictions on factor movements are abolished.

  • An Economic Union

    • Combines the suppression of restrictions on commodity and factor movements with some degree of harmonization of national economic policies. The European Union (EU)


Types of economic blocs2

Types of Economic Blocs

  • Total Economic Integration

    • Requires not only the unification of monetary, fiscal, social, and countercyclical policies but also the establishment of a supra-national authority whose decisions are binding for the member states. The United States of America


  • Login