Ch07Trade_Regulations_and_Industrial_Policies(国际经济学-西北大学(美国)).pdfVIP

International Economics By Robert J. Carbaugh 9th Edition Chapter 7: Trade Regulations and Industrial Policies Copyright ©2004, South-Western College Publishing Trade regulation The US and international trade Smoot-Hawley Tariff Act (1930)  High point of US protectionism Reciprocal Trade Agreements Act (1934)  Introduced “most favored nation” (MFN) clause (now called “normal trade relations”) General Agreement on Tariffs and Trade [GATT] (1947) World Trade Organization (1995) Carbaugh, Chap. 7 2 Trade regulation GATT - Postwar trade liberalization Founded on the principle of non- discrimination, including: Normal Trade Relations treatment  National treatment of imported goods Included trade dispute resolution mechanisms Committed signatories to use tariffs rather than quotas Carbaugh, Chap. 7 3 Trade regulation GATT - Postwar trade liberalization (2) Started regular negotiations to reduce tariffs and NTBs Exceptions allowed nations to sidestep the rules when they felt threatened, without abandoning the entire process Carbaugh, Chap. 7 4 Trade regulation GATT negotiations Early bilateral agreements Kennedy Round (1964-67) - first multi- lateral negotiations; focus on tariff cuts Tokyo Round (1973-79) - focus on lowering non-tariff barriers Uruguay Round (1986-93) - covered new issue areas (intellectual property, services, agriculture), included developing nations Carbaugh, Chap. 7 5 Trade regulation GATT becomes WTO GATT agreement became World Trade Organization in January 1995 WTO members must ad