international organizations trade & economic interdependence -- the wto, nafta & eu...
TRANSCRIPT
International Organizations
Trade & Economic Interdependence --
The WTO, NAFTA & EU (Cont’d)
Jan. 22nd, 2003
The World Trade Organization Canada and the WTO
http://www.wto.org/english/tratop_e/dispu_e/distabase_wto_members1_e.htm
as respondent Canadian Wheat Board (vs. US – expected
decision, Feb.2004) aircraft subsidies (vs. Brazil)
• March 2003 -- $247 million as complainant
softwood lumber (vs. US)• http://www.globeandmail.com/servlet/story/
RTGAM.20040119.wlumberwto0119/BNStory/Business/
bio-tech (vs. EU, May 2003) asbestos (vs. France, 1998)
The World Trade Organization WTO and national sovereignty WTO and the US
http://www.wto.org/english/tratop_e/tpr_e/tp226_e.htm
WTO – ongoing negotiations
The World Trade Organization WTO and national sovereignty WTO and the US
http://www.wto.org/english/tratop_e/tpr_e/tp226_e.htm
WTO – ongoing negotiations the failure in Cancun
The World Trade Organization WTO and national sovereignty WTO and the US
http://www.wto.org/english/tratop_e/tpr_e/tp226_e.htm
WTO – ongoing negotiations the failure in Cancun
WTO and Anti-Globalization Protests
The World Trade Organization WTO and national sovereignty WTO and the US
http://www.wto.org/english/tratop_e/tpr_e/tp226_e.htm
WTO – ongoing negotiations the failure in Cancun
WTO and Anti-Globalization Protests http://www.nytimes.com/
2004/01/20/international/asia/20FORU.html
NAFTA – Trade Plus
North American Free Trade Agreement (NAFTA)
similar to principles enshrined under WTO plus... investor protection cross-border mobility environment and labour side agreements
NAFTA – Trade Plus
Free Trade Agreement (FTA), 1989 Canada and US removal of almost all barriers to flow of
goods and services between the two countries
reduction of tarrif and non-tariff barriers (e.g. subsidies)
national treatment
NAFTA – Trade Plus
North American Free Trade Agreement (NAFTA), 1994 extended FTA to Mexico limited differences between FTA and
NAFTA expanded to include intellectual property,
medical services, etc. border crossing for business people side agreements
• environment
• labour standards investor protection
NAFTA – Trade Plus
Chpt.11 on investment defines expropriation and requires
compensation corporations act as complainant
cases (examples) Ethyl Corporation Sun Belt Water Methanex Metalclad
NAFTA – Trade Plus
Chpt.11 on investment provides rights to foreign investors...
that are not constitutionally guaranteed to domestic investors in Canada
enshrines property rights that were deliberately left out of the Canadian constitution
effects on public policy “regulatory chill” “ratchet effect”
counter-argument – investor protection is a necessity for deepening economic integration
NAFTA – Where Now?
FTAA – Free Trade Area of the Americas expansion of NAFTA to 34 countries http://www.ftaa-alca.org/busfac/
clist_e.asp
European Union (EU) – Economic & Political Integration expansion – deepening and broadening integration
European Coal and Steel Community, 1951 six countries (Belgium, France, Germany, Italy,
Luxembourg, the Netherlands) European Economic Community (EEC),
1957 negative integration – absence of restrictions on
movement of workers, goods, services Denmark, Ireland and UK admitted, 1972
European Union, 1993 positive integration – actively fostering integration
• Maastricht Treaty, 1992• Amsterdam Treaty, 1997
15 members currently• Greece (1986), Spain (1986), Portugal (1986),
Austria (1995), Finland (1995), Sweden (1995)
European Union (EU) – Economic & Political Integration 2004 expansion
10 candidate countries (Bulgaria, Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Romania, Slovenia, Slovakia, Turkey)
European Union (EU) – Economic Integration single market
free movement of people, capital (investment), goods and services
customs union single set of trade/tariff policies
monetary union the Euro
• phased in 1999-2002
common labour market Schengen Agreement, 1985
European Union (EU) – Political Integration common political institutions
legislative – shared legislative powers• Council of the European Union
– ministers and heads of state of member countries
• European Parliament
– direct election
executive – European Commission President and commissioners appointed by
member states confirmed by European Parliament
judiciary – Court of Justice
European Union (EU) – Political Integration common political institutions common European citizenship
freedom of movements fundamental rights civil and political rights
common social citizenship (limited) access to social programs in other countries
common currency money traditionally symbol of sovereignty requires integrated monetary policy
regional development funds to help correct regional imbalances in wealth
within the EU
Main Points! range of options for integration
economic integration negative integration (removing barriers to economic integration)
• trade (WTO & GATT)
• trade plus (NAFTA) positive integration (actively fostering integration)
– common market (EU)
political integration economic integration only
• WTO and NAFTA economic integration and political integration
• EU
Democratic Issues...
to what degree do democratically elected governments have the right to cede sovereignty in international agreements?
to what degree do democratic governments have the right to make decisions that are binding on future governments?
what is the required level of citizen engagement? is involvement of democratically elected
governments enough? do international institutions themselves have to be
democratic (and what would this mean)?
