Page 276 - DMGT401Business Environment

Amit Kumar Sharma, Lovely Professional University Unit 13: World Trade Organization

Unit 13: World Trade Organization Notes

CONTENTS
Objectives
Introduction

13.1 World Trade Organisation (WTO)
13.2 Function of WTO
13.3 Rules of WTO (Agreements)

13.4 Organization of WTO
13.5 Regional Groups in WTO
13.6 Advantages/Benefits of WTO
13.7 Dispute Settlement
13.8 Impact of WTO on India

13.9 Summary
13.10 Keywords
13.11 Self Assessment

13.12 Review Questions
13.13 Further Readings

Objectives

After studying this unit, you will be able to:
Discuss the functions and organisations of WTO
Describe advantages of World Trade Organisation

Introduction

The 20th century was also governed by economic nationalism. Most of the European nations
followed this policy. After the Second World War economic nationalism became the key for
most nations in Asia and Europe. Even nations like the US and France were not untouched with
the phenomenon of economic nationalism.
When the US started losing jobs because of globalisation it reacted sharply. Not only this, in the
20th century itself it took various measures to protect its domestic industry like automobiles
and motorcycles. It imposed quantitative restrictions on the imports of automobiles from Japan.
Similarly, when in 2006 a Britain-based NRI made a bid for Europe's largest steel maker France
reacted sharply.
Economic nationalism is a term used to describe policies which are guided by the idea of
protecting domestic consumption, labour and capital formation, even if this requires the
imposition of tariffs and other restrictions on the movement of labour, goods and capital. It
opposes globalisation in many cases, or at least it questions the perceived benefits of unrestricted

LOVELY PROFESSIONAL UNIVERSITY 269