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Building Trade-Relating Institutions And Wto Accession

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  • Sudip Ranjan Basu
  • Victor Ognivtsev
  • Miho Shirotori

Abstract

The paper aims to examine how trade rules aff ect a much greater array of domestic policies and institutions than ever before. The expanding scope of trade policy places an additional strain on policymaking and institution-building, especially for developing countries. By analysing WTO accession cases, the paper concludes that this process can, under certain conditions, induce countries to establish or improve trade-related institutions. The diff erence-in-diff erence analysis is employed as the empirical model. Results are robust with alternative model specifi cations and choice of economic policies and institutional variable. However, the accession process lacks mechanisms which take account of acceding countries’ diff ering levels of economic development and institutional capacity, placing a heavier burden of implementation policy and institutional reform and related costs on countries with limited human, administrative and fi nancial resources such as LDCs.

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File URL: http://unctad.org/en/Docs/itcdtab42_en.pdf
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Bibliographic Info

Paper provided by United Nations Conference on Trade and Development in its series UNCTAD Blue Series Papers with number 41.

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Date of creation: 2009
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Handle: RePEc:unc:blupap:41

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  1. Daron Acemoglu & Simon Johnson & James A. Robinson, 2000. "The Colonial Origins of Comparative Development: An Empirical Investigation," NBER Working Papers 7771, National Bureau of Economic Research, Inc.
  2. J. Michael Finger & Julio J. Nogués, 2002. "The Unbalanced Uruguay Round Outcome: The New Areas in Future WTO Negotiations," The World Economy, Wiley Blackwell, vol. 25(3), pages 321-340, 03.
  3. Wacziarg, Romain & Welch, Karen Horn, 2003. "Trade Liberalization and Growth: New Evidence," Research Papers 1826, Stanford University, Graduate School of Business.
  4. World Bank, 2006. "World Development Indicators 2006," World Bank Publications, The World Bank, number 8151, October.
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