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Trading Profiles and Developing Country Participation in the WTO Dispute Settlement System

  • Francois, Joseph

    (Johannes Kepler University, Linz)

  • Horn, Henrik

    ()

    (Research Institute of Industrial Economics (IFN))

  • Kaunitz, Niklas

    ()

    (Research Institute of Industrial Economics (IFN))

It has been alleged since its inception that the WTO Dispute Settlement (DS) mechanism is biased against developing countries, as manifested in e.g. allegedly too low rates of dispute initiation. To shed light on this issue, this study analyses the determinants of developing country participation in the DS system, using bilateral industry-level trade data, and a data set on dispute initiation that is significantly richer than what has been employed in the literature. But the study also points to a number of fundamental conceptual and data problems that beset the whole empirical literature that seeks to draw policy conclusions based on country participation in the DS system. While perhaps appreciated by researchers working in this area, these problems appear to go unnoticed by practitioners drawing on this literature.

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Paper provided by Research Institute of Industrial Economics in its series Working Paper Series with number 730.

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Length: 75 pages
Date of creation: 31 Jan 2008
Date of revision:
Handle: RePEc:hhs:iuiwop:0730
Contact details of provider: Postal: Research Institute of Industrial Economics, Box 55665, SE-102 15 Stockholm, Sweden
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Fax: +46 8 665 4599
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  1. Chad P. Bown, 2005. "Participation in," World Bank Economic Review, World Bank Group, vol. 19(2), pages 287-310.
  2. Bruce A. Blonigen & Chad P. Bown, 2001. "Antidumping and Retaliation Threats," NBER Working Papers 8576, National Bureau of Economic Research, Inc.
  3. 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, 01.
  4. Joseph Francois & B. Hoekman & M. Manchin, 2005. "Preference Erosion and Multilateral Trade Liberalization," The Institute for International Integration Studies Discussion Paper Series iiisdp87, IIIS.
  5. Earl L. Grinols & Roberto Perrelli, 2006. "The WTO Impact on International Trade Disputes: An Event History Analysis," The Review of Economics and Statistics, MIT Press, vol. 88(4), pages 613-624, November.
  6. Andrew T. Guzman & Beth A. Simmons, 2005. "Power Plays and Capacity Constraints: The Selection of Defendants in World Trade Organization Disputes," The Journal of Legal Studies, University of Chicago Press, vol. 34(2), pages 557-598, 06.
  7. Chad P . Bown, 2002. "The Economics of Trade Disputes, the GATT's Article XXIII, and the WTO's Dispute Settlement Understanding," Economics and Politics, Wiley Blackwell, vol. 14(3), pages 283-323, November.
  8. Butler, Monika & Hauser, Heinz, 2000. "The WTO Dispute Settlement System: First Assessment from an Economic Perspective," Journal of Law, Economics and Organization, Oxford University Press, vol. 16(2), pages 503-33, October.
  9. Guzman, Andrew, 2003. "The Political Economy of Litigation and Settlement at the WTO," Berkeley Olin Program in Law & Economics, Working Paper Series qt4wr4j18z, Berkeley Olin Program in Law & Economics.
  10. Butler, M. & Hauser, H., 2000. "The WTO Dispute Settlement System : A First Assessment from an Economic Perspective," Discussion Paper 2000-21, Tilburg University, Center for Economic Research.
  11. Horn, Henrik & Mavroidis, Petros C & Nordström, Håkan, 1999. "Is The Use Of The WTO Dispute Settlement System Biased?," CEPR Discussion Papers 2340, C.E.P.R. Discussion Papers.
  12. Hoekman , Bernard & Horn, Henrik & Mavroidis, Petros C., 2008. "Winners and Losers in the Panel Stage of the WTO Dispute Settlement System," Working Paper Series 769, Research Institute of Industrial Economics.
  13. 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.
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