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Unravelling the Puzzle of Social Standards’ Design in EU and US Trade Agreements

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  • Evgeny Postnikov

Abstract

The European Union (EU) and the United States (US) are signing preferential trade agreements (PTAs) increasingly used as vehicles for exporting social regulation, such as labour and environmental standards. Despite the similarity in terms of the inclusion of such provisions, their design varies greatly between US and EU agreements. The US exports its domestic standards, relying on coercive enforcement, while the EU emphasises international rules and soft measures. Why do US PTAs have stricter social standards than those signed by the EU? Using the principal–agent approach to explain the domestic politics of social provisions in EU and US PTAs, I argue that greater insulation of trade executives from interest groups and legislators results in their ability to set the agreement agenda independently, in accordance with their normative preferences. The argument is supported by case studies and original interview data.

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  • Evgeny Postnikov, 2019. "Unravelling the Puzzle of Social Standards’ Design in EU and US Trade Agreements," New Political Economy, Taylor & Francis Journals, vol. 24(2), pages 181-196, March.
  • Handle: RePEc:taf:cnpexx:v:24:y:2019:i:2:p:181-196
    DOI: 10.1080/13563467.2018.1428943
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    Cited by:

    1. Noémie Laurens & Jean-Frédéric Morin, 2019. "Negotiating environmental protection in trade agreements: A regime shift or a tactical linkage?," International Environmental Agreements: Politics, Law and Economics, Springer, vol. 19(6), pages 533-556, December.
    2. Ida Bastiaens & Evgeny Postnikov, 2020. "Social standards in trade agreements and free trade preferences: An empirical investigation," The Review of International Organizations, Springer, vol. 15(4), pages 793-816, October.

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