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Building Trade-Relating Institutions And Wto Accession

Author

Listed:
  • 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.

Suggested Citation

  • Sudip Ranjan Basu & Victor Ognivtsev & Miho Shirotori, 2009. "Building Trade-Relating Institutions And Wto Accession," UNCTAD Blue Series Papers 41, United Nations Conference on Trade and Development.
  • Handle: RePEc:unc:blupap:41
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    File URL: http://unctad.org/en/Docs/itcdtab42_en.pdf
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    References listed on IDEAS

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    1. Romain Wacziarg & Karen Horn Welch, 2008. "Trade Liberalization and Growth: New Evidence," World Bank Economic Review, World Bank Group, vol. 22(2), pages 187-231, June.
    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, March.
    3. Hausman, Jerry & Kuersteiner, Guido, 2008. "Difference in difference meets generalized least squares: Higher order properties of hypotheses tests," Journal of Econometrics, Elsevier, vol. 144(2), pages 371-391, June.
    4. Zdenek Drabek & Marc Bacchetta, 2004. "Tracing the Effects of WTO Accession on Policy-making in Sovereign States: Preliminary Lessons from the Recent Experience of Transition Countries," The World Economy, Wiley Blackwell, vol. 27(7), pages 1083-1125, July.
    5. World Bank, 2006. "World Development Indicators 2006," World Bank Publications, The World Bank, number 8151, August.
    6. Daron Acemoglu & Simon Johnson & James A. Robinson, 2001. "The Colonial Origins of Comparative Development: An Empirical Investigation," American Economic Review, American Economic Association, vol. 91(5), pages 1369-1401, December.
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    Cited by:

    1. Aaronson, Susan & Abouharb, M. Rodwan, 2011. "Does the WTO Help Member States Clean Up?," Papers 268, World Trade Institute.
    2. F. Karam & C. Zaki, 2013. "On the determinants of trade in services: evidence from the MENA region," Applied Economics, Taylor & Francis Journals, vol. 45(33), pages 4662-4676, November.
    3. Fida Karam & Chahir Zaki, 2012. "On the Determinants of Trade in Services: Evidence from the MENA Region," Working Papers 692, Economic Research Forum, revised 2012.

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