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The determinants of bilateral World Trade Organization disputes in the agro-food sector

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  • Goetz, Christian
  • Heckelei, Thomas

Abstract

This paper analyses relevant determinants for the probability to initiate a dispute on policy measures under the World Trade Organization (WTO) dispute settlement system. The empirical analysis focuses on agro-food-related disputes to provide sector-specific information on the driving factors in dispute settlement, and complements and extends previous studies by incorporating new potential determinants. The focus is shifted to bilaterally dependent characteristics to take care of trade related and power-based relationships between Members. Contrary to recent analyses of overall trade disputes, the results show that some determinants such as export value and monetary means are not statistically significant. However, the import dependency from the defendant party could be identified as a relevant determinant in disputes.

Suggested Citation

  • Goetz, Christian & Heckelei, Thomas, 2009. "The determinants of bilateral World Trade Organization disputes in the agro-food sector," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49461, Agricultural and Applied Economics Association.
  • Handle: RePEc:ags:aaea09:49461
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    File URL: http://purl.umn.edu/49461
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    References listed on IDEAS

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    1. Hiau LooiKee & Alessandro Nicita & Marcelo Olarreaga, 2009. "Estimating Trade Restrictiveness Indices," Economic Journal, Royal Economic Society, vol. 119(534), pages 172-199, January.
    2. Götz, Christian & Heckelei, Thomas & Rudloff, Bettina, 2010. "What makes countries initiate WTO disputes on food-related issues?," Food Policy, Elsevier, vol. 35(2), pages 154-162, April.
    3. Chad P. Bown, 2004. "On the Economic Success of GATT/WTO Dispute Settlement," The Review of Economics and Statistics, MIT Press, vol. 86(3), pages 811-823, August.
    4. Chad P. Bown, 2004. "Developing Countries as Plaintiffs and Defendants in GATT/WTO Trade Disputes," The World Economy, Wiley Blackwell, vol. 27(1), pages 59-80, January.
    5. John Kennan & Raymond Riezman, 2013. "Do Big Countries Win Tariff Wars?," World Scientific Book Chapters,in: International Trade Agreements and Political Economy, chapter 4, pages 45-51 World Scientific Publishing Co. Pte. Ltd..
    6. Chad P. Bown, 2005. "Participation in," World Bank Economic Review, World Bank Group, vol. 19(2), pages 287-310.
    7. Bown, Chad P., 2004. "Trade disputes and the implementation of protection under the GATT: an empirical assessment," Journal of International Economics, Elsevier, vol. 62(2), pages 263-294, March.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    WTO dispute; agro-food sector; binary choice model; International Relations/Trade; C12; C13; F13;

    JEL classification:

    • C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Hypothesis Testing: General
    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations

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