The paper "Roles of the Nation-State Government in Organization of WTO " is a perfect example of business coursework. The World Trade Organization founded in the year January 1995 is a major influencer in the area of global governance. Its regulatory structure covers almost 140 sovereign states in totality, due to its rules and regulations; it has been under controversy related to the areas which are beyond the realm of traditional trade policy (Sampson P C, 2001). The establishment of WTO was mainly done to ensure a smooth flow of goods by appropriate negotiation of trade agreements between different member nations and the settlement of disputes.
The organization also aims to assist developing countries to formulate there trading policies and effectively deal with the related issues and the training programs also. The nation-states have a vital role to play in realizing and implementing the functions laid by the WTO on the whole. It cannot be denied that the governments of dominant capitalist countries or the nation-states and their representatives are responsible to determine the neoliberal politics of the WTO. These nation-states make use of their power and the military mechanisms for instance NATO, the North American nation-state is an apt example to display the unique power that the superpower holds in the modern era to implement the economic, political and military domination. In accordance with the GATT prototype, the rule and policy formation in the WTO requires the active involvement of all member nation-states, especially institutionalized international relations.
In the current scenario WTO and the various agreements made on the open capital markets, permit a free flow of goods and capital but believe in maintaining a very thin line of governmental intervention.
Under the governance structure created by the WTO, nation-states have been liberalized to draft their policy regarding social issues. On the whole, the WTO promotes beneficial jurisdictional competition among the nation-states. Today, in the organization of WTO, a system of international federalism is supported (McGinnis O J, 2004). Still, the intervention of international governance is not encouraged to a high extent in order to conserve the centralized decision making by the WTO especially in matters regarding the policies for tariff reductions so that the nation-states do not build up discriminatory barriers. However, the nation-states do hold the power to carry on domestic regulations that are related to their individual developmental levels and structures holding on their uniques cultural, social, and ethical values and preferences of their national citizens.
The open trading system, the capital markets, and the international trading agreements and treaties regulated by the WTO restrict and pose constraints on the nation-states to use their powers for personal gains or unethical reasons hampering the growth of other nations. Further negative interests such as wealth destroying norms are also controlled by jurisdictional competition (McGinnis O J, 2004). Today, the WTO reproduces that system on the international level.
There is a relatively thin international governance structure with the authority to make centralized decisions regarding the policing of tariff reductions to ensure that nations do not put up discriminatory barriers. Nation-states still have the power to make domestic regulations that depend on their respective levels of development and the values and preferences of their citizens. Yet the open trading systems and capital markets facilitated by the WTO and international finance agreements restrain these nation-states from using their powers unwisely.
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