Great Depression Of The 1930 ' S

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International trade occurs, when goods and services are traded across the boundaries of nation states. Trade helps create a more liberal global economy while trying to do away with neo mercantilist policies. However, even though trade existed between nations before the introduction of GATT, it is important to note that the trade was not always free. Many nation states including the United States had protectionist policies in place to give them an advantage. These protectionist policies grew during the great depression of the 1930’s and these depressing economic conditions are believed to be what gave rise to Hitler and the Second World War. According to David. N. Balaam and Bradford Dillman, authors of the introduction to International…show more content…
However, as the dependence on trade for economic growth increased so did tension and disagreements among industrialized nations. The term strategic trade policy became synonymous with a nations efforts to increase exports and block foreign access to domestic markets (Dillman 136). The Uruguay round of GATT (1986-1993) helped get rid of some of these problems and in it’s final agreement launched the World Trade Organization (WTO). The main reason for creating the WTO was to impose GATT, GATS and TRIPS agreements. Although the WTO decisions are made by a consensus of its members, the decision making structure differs from the GATT. It consists of and administrative body (Secretariat), a ministerial conference that meets once in two year, and a general council composed of ambassadors and delegate heads (Dillman 138). It also uses Dispute settlement Panels that rule on trade disputes. This is something GATT did not have; an impartial panel of experts rules on cases that are submitted to the WTO. It can also enforce trade sanctions to members who do not enforce the rulings by the panel. The Doha round of talks held in 2001 wanted to involve developing countries due to their growing importance, and hence this round was nicknamed the “Development Round.” Critics of this round suggested that nations should pursue more bilateral and regional trade agreements. This meant more Regional Trade
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