Is the World Trade Organization Attractive Enough for Emerging Economies?: Critical Essays on the Multilateral Trading System

373 Pages·2010·2.524 MB·English

by  Zdenek Drabek (eds.)

Is the World Trade Organization Attractive
Enough for Emerging Economies?
Also by Zdenek Drabek
CAN REGIONAL TRADING ARRANGEMENTS ENFORCE TRADE DISCIPLINE?
GLOBALIZATION UNDER THREAT: The Stability of Trade Policy and International
Agreements
TRANSITION COUNTRIES AT THE CROSSROAD OF GLOBALIZATION AND
REGIONALISM (Guest Editor)
MANAGING CAPITAL FLOWS IN TURBULENT TIMES: The Experience of
Transition Economies in Global Perspective (Co-editor)
THE POLICY CHALLENGES OF GLOBAL FINANCIAL INTEGRATION (Co-author)
REGIONALISM AND GLOBAL ECONOMY: The Case of Central and Eastern Europe
(Co-editor)
FINANCIAL SECTOR REFORM IN CENTRAL AND EASTERN EUROPE (Co-editor)
Is the World Trade
Organization Attractive
Enough for Emerging
Economies?
Critical Essays on the
Multilateral Trading System
Edited by
Zdenek Drabek
Selection and editorial matter © Zdenek Drabek 2010
Individual chapters © Contributors 2010
Softcover reprint of the hardcover 1st edition 2010 978-0-230-58184-5
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First published 2010 by
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ISBN 978-1-349-36905-8 ISBN 978-0-230-25082-6 (eBook)
DOI 10.1057/9780230250826
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In memory of my parents
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Contents
List of Illustrations ix
Preface xii
Acknowledgments xiv
List of Contributors xvi
Introduction 1
Zdenek Drabek
Part I WTO Agreements – A Development-friendly
Policy Instrument?
1. Development Implications of WTO Accession Procedures 13
Will Martin
2. Toward A Development-friendly International Regulatory
Framework for Foreign Direct Investment 37
Theodore H. Moran
3. The WTO: A Sweet or Sour Chinese Banquet? 72
Alice H. Amsden
Part II WTO Membership and Economic Cooperation
(Accession and Impact on Policies)
4. Effects of WTO Accession on Policymaking in
Sovereign States: Lessons from Transition Countries 91
Zdenek Drabek and Marc Bacchetta
5. P olicy Anchors: Do Free Trade Agreements and WTO
Accessions Serve as Vehicles for Developing-country
Policy Reform? 139
Michael J. Ferrantino
6. R egional Trading Arrangements and WTO
Membership: Substitutes or Complements? 176
Richard Pomfret
vii
viii Contents
Part III Impact of the WTO on Trade Flows of Goods
7. The Effect of Membership in the GATT/WTO on Trade:
Where Do We Stand? 195
Andrew K. Rose
8. Does WTO Membership Make a Difference at the
Extensive Margin of World Trade? 217
Gabriel Felbermayr and Wilhelm Kohler
Part IV Broader Costs and Benefits of WTO Membership
9. Who Should Join the WTO and Why?: A Cost-benefit
Analysis of WTO Membership 249
Zdenek Drabek and Wing Thye Woo
10. T he WTO Dispute Settlement System: How Have Developing
Countries Fared? 295
William J. Davey
11. Costs of Implementation of WTO Agreements 333
Sam Laird
Index 349
Illustrations
Tables
1.1 Maximum final bound tariffs in agricultural
and nonagricultural products 23
1.2 Cuts in simple average agricultural tariffs (%) 28
1.3 Cuts in simple average nonagricultural tariffs (%) 29
1.4 G ATS commitments and EBRD measures of actual
services liberalization 31
3.1 GDP growth rates and GDP per capita growth rates 78
4.1 Bound and applied import tariffs in selected transition
countries 102
4.2 Indices of institutional quality, 1997–98 106
4.3 Indices of corruption, 1999 109
4.4 Measures of administrative corruption 110
4.5 Inward FDI stocks in transition countries, 1995–99
(as a percentage of GDP) 112
4.6 Tariff revenues in transition countries, 1991–99
(in percentage of imports) 114
4.7 S hare of international trade taxes in total government
revenues (as a percentage) 117
4.8 Costs of World Bank projects related to the
implementation of three WTO Agreements 121
Annex 4.1 W TO: Dates of accession and membership of transition
countries 131
5.1 Timeline for U.S. FTAs 144
5.2 Completed WTO accessions as of December 2005 148
5.3 Distribution of time and complexity of accessions 150
5.4 Ongoing WTO accessions as of August 2006 152
5.5 Initial values of “Governance Matters” indicators 160
5.6 Observed changes in “Governance Matters” indicators 162
5.7 Difference of means tests 164
5.8 Summary of significant changes in governance
indicators 166
5.9 Heritage Foundation scores 168
6.1 RTAs notified to the WTO in 2005 182
7.1 Replicating the impact of joint GATT/WTO
Membership on bilateral trade 199
7.2 Benchmark estimates, effect of GATT/WTO
Membership on bilateral trade 202
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