/

What Are The Roles Of General Agreement On Tariffs And Trade In International Trade


The details of the GATT were optimized in the decades following its creation. The main objective of the continuation of the negotiations was the continuation of the reduction of tariffs. In the mid-1960s, the Kennedy Round added an anti-dumping agreement. The Tokyo Round of the 1970s improved other aspects of trade. The Uruguay round lasted from 1986 to 1994 and founded the World Trade Organization. The summit almost resulted in a third organization. This should be the very ambitious International Trade Organization (ITO). The 50 countries that started negotiations wanted an agency within the United Nations to create rules, not only for trade, but also for jobs, agreements on raw materials, trade practices, foreign direct investment and services. The ITO charter was adopted in March 1948, but the U.S.

Congress and a few other countries refused to ratify it. In 1950, the Truman administration declared defeat and completed the ITO. The working hypothesis for collective bargaining was a linear reduction of 50% in tariffs, with the smallest number of exceptions. A long-term argument has developed about the trade effects of a uniform linear reduction on the dispersed rates (low tariffs and high rates quite far away) of the United States compared to the much more concentrated rates of the EEC, which also tended to be under the ownership of U.S. tariffs. The Uruguay cycle began in 1986. It was the most ambitious cycle to date that hoped to extend GATT`s jurisdiction to important new areas such as services, capital, intellectual property, textiles and agriculture. 123 countries participated in the cycle. The Uruguay Round was also the first round of multilateral trade negotiations in which developing countries played an active role. [16] The EU is working on a system of independent supranational institutions and intergovernmental decisions negotiated by Member States. The important institutions of the EU are the European Commission, the Council of the European Union, the European Council, the European Court of Justice and the European Central Bank.

The European Parliament is elected every five years by EU citizens. The EU has developed an internal market through a standardised legal system that applies to all Member States. Passport controls have been abolished within the Schengen area (which includes EU and third country member states). EU policy aims to ensure the free movement of people, goods, services and capital, to legislate in the areas of justice and home affairs and to maintain common policies in the areas of trade, agriculture, fisheries and regional development.