Economic institutions and northern governments

Document Type:Essay

Subject Area:Engineering

Document 1

Its main aim is to oversee the trade operations all over the world by ensuring that all the 164 member nations follow the global trade rules. The main offices of the international trade organization are in Geneva, Switzerland, where all the interests of the world trade are globally served (Buzard & Voon, 2019). Since its establishment, WTO has been able to guide the business by coming up with new rules, offering a better forum in which nations can solve their disputes and negotiate peacefully, fostering cooperation with the other economic institutions such as the World Bank as well as assisting the developing countries in benefiting from the trading systems used globally fully. However, the World Trade Organization aims at operating independently without interference from the northern governments. Such nations seek to take control of WTO to achieve their interests economically and politically (Buzard & Voon, 2019). Australia is a country that is regarded as a northern government due to its Northern Territory Government. It is one of the nations that are considered to have captured WTO based on how it has sharpened its negotiation skills to push its interests over those of the WTO. The reason for choosing Australia as a northern government nation is that it has been a member of WTO since its start in 1995. In this paper, the evidence of capturing WTO by Australia will be provided. In providing the evidence, the patterns of the economic outcomes will be evaluated. This means that the benefits of WTO to Australia will be stated. Further details will also be discussed on the structures within Australia that made it possible to capture such an economic institution.

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All the discussions presented will be referenced.   Political and economic outcomes Australia has been using WTO in advancing its economic interests of expanding its market through the exportation of manufactured products to different countries. The country relies on the trade rules set by the World Trade Organization as well as its significant functions. A good example is dispute solving by the WTO. This helps Australia because it assists in developing a stable and predictable market environment. As a result, the country has been able to yield a lot of profit from the trading activities, hence leading to economic growth (Friedmann, 2018).   The country has joined the free trade agreements (FTA) with the other 16 nations. However, these agreements majorly depend on, refers to the WTO rules. One of the methods that the country has been able to use in capturing WTO is urging the other nations to join and follow the set trade policies.

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Besides, Australia also encourages all the members of WTO to carry out flexible negotiations when carrying out trade. Through this, the countries would be able to remove some trade barriers that might exist between them. The state also urges that by eliminating the trade barriers, new opportunities will be provided to all the member countries. The state also seeks to pursue the regional and bilateral trade agreements promoted by the WTO. As a result, it eliminated more than half of the tariff. The deal facilitates for bilateral trade. The trade agreement aims at delivering a transparent, open, and predictable business environment. It also included for further negotiations between the two countries once they enter into the market for the first three years.   Since the engagement of trade, the country has continued to have the best-performing economy in the world.

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Structures within Australia that facilitated for the capture of WTO One of the Australian structures that facilitated the capture of WTO is the government. All the activities of the country more so those engaging money dealings are controlled by the government. The government of Australia encouraged people to engage in trading activities because it is through it that the economy of the country can improve. The government also created laws and regulations that did not impact trade negatively. The rules that the government made promoted trading activities. Australia has also been encouraging the other member states to abide by the rules of business set by WTO. Through this, WTO acknowledges the role that Australian government plays in advocating for free business. However, the government is advocating for liberalization in other nations.

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This will be of benefit because the traders will have a variety of products to sell; hence making the traders in raising more money. The country has been seeking liberalization through the WTO.   Besides, the other factor that facilitated the capture of WTO by Australia is the dispute settlement system used by the organization. Solving of disputes facilitates free trade between nations. Australia focuses on ensuring that the trading activity facilitated by WTO is open, enforceable, and equitable. This goal can only be achieved through a means of problem-solving. Settling of disputes is the main focus of WTO, and this assures all the member countries that obligations and commitments of are well respected. It is evident that the member countries of the organization will always come up with good suggestions about trade.

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A good example is Australia, which came up with the idea of liberalization. However, once the organization learns something good from the member country, it should not make the country to own the concept. It should make sure that the idea is kept into practice by the organization, but not the member country. This will reduce the cases of capturing of the organization (Drake-Brockman & Messerlin, 2018). The organization can create strict rules that prevent other countries from taking control over it. A new management team can also be selected.   References Buzard, K. Voon, T. How Trade-Restrictive is Standardised Packaging? Economic and Legal Implications of the WTO Panel Reports in Australia–Tobacco Plain Packaging.  Arbitration International. Drake-Brockman, J. Messerlin, P. A.  Potential benefits of an Australia-EU free trade agreement: Key issues and options.

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