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The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper than that. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.
In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.
Q. 
According to the passage, WTO promoted the technical legal values partly through.
  • a)
    Integrating under one roof the agreements signed under GATT.
  • b)
    Rules that create their own incentive for fulfilment.
  • c)
    Ambiguities about the powers of contracting parties to make certain decisions.
  • d)
    Grandfather-rights exceptions and defects in dispute settlement procedures.
Correct answer is option 'A'. Can you explain this answer?
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The World Trade Organisation (WTO) was created in the early 1990s as a...
According to the passage, WTO promoted the technical legal values partly through:
- Integrating under one roof the agreements signed under GATT: The WTO aimed to consolidate and integrate the various agreements signed under the General Agreement on Tariffs and Trade (GATT) into a single organization. This integration helped promote consistency and clarity in the trade rules.
- Rules that create their own incentive for fulfilment: The passage mentions that a rule-based system of co-operation requires consistency, clarity, and effectiveness. By establishing rules and obligations, the WTO created an environment where countries had an incentive to fulfill their trade commitments.
- Ambiguities about the powers of contracting parties to make certain decisions: The WTO sought to remove ambiguities about the powers of contracting parties to make certain decisions or undertake waivers. This clarity in decision-making powers contributed to the technical legal value of consistency.
- Grandfather-rights exceptions and defects in dispute settlement procedures: The WTO aimed to eliminate exceptions arising from grandfather-rights (existing rights or privileges) and resolve defects in dispute settlement procedures. By addressing these issues, the WTO enhanced the effectiveness of the trade dispute resolution system, which is an essential aspect of a rule-based environment.
Overall, the WTO promoted the technical legal values of consistency, clarity, and effectiveness by integrating agreements, establishing rules with incentives for fulfillment, clarifying decision-making powers, and addressing exceptions and defects in dispute settlement procedures.
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The World Trade Organisation (WTO) was created in the early 1990s as a...
Integrating under one roof the agreements signed under GATT:
The passage explains that one way the WTO promoted technical legal values was by integrating all the separate agreements signed under GATT auspices under one roof. This consolidation of agreements was necessary to ensure consistency, clarity, and effectiveness within the trade regime. By bringing all agreements together, the WTO aimed to create a more cohesive and comprehensive set of rules that would govern international trade practices. This integration helped in avoiding ambiguities and conflicts that could arise from having multiple separate agreements in place. It also made it easier to enforce and interpret the rules, as all parties were now operating under a unified framework. This step was crucial in upholding the values of consistency, clarity, and effectiveness within the WTO system and ensuring that the benefits of the new rules would not be lost.
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Direction for Questions 11 15: Read the given passage carefully and choose the most appropriate option to the questions given below.The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a constitutional reform of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning replicated in many countries was contained in U. S. Ambassador Kantors defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the momentum of legal development, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EUs internal market, in which the doctrine of mutual recognition handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the teleological method of interpretation, whereby the actions of member states were evaluated against the accomplishment of the most elementary goals set forth in the Preamble to the (Rom e) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q. In the statement ... it amounted to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiatedrule-based environment, it refers to

The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a constitutional reform of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning replicated in many countries was contained in U. S. Ambassador Kantors defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the momentum of legal development, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EUs internal market, in which the doctrine of mutual recognition handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the teleological method of interpretation, whereby the actions of member states were evaluated against the accomplishment of the most elementary goals set forth in the Preamble to the (Rom e) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.What would be the closest reason why WTO was not formed in 1970s?

The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a constitutional reform of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning replicated in many countries was contained in U. S. Ambassador Kantors defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the momentum of legal development, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EUs internal market, in which the doctrine of mutual recognition handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the teleological method of interpretation, whereby the actions of member states were evaluated against the accomplishment of the most elementary goals set forth in the Preamble to the (Rom e) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.In the method of interpretation of the European Court of Justice

The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a constitutional reform of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning replicated in many countries was contained in U. S. Ambassador Kantors defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the momentum of legal development, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EUs internal market, in which the doctrine of mutual recognition handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the teleological method of interpretation, whereby the actions of member states were evaluated against the accomplishment of the most elementary goals set forth in the Preamble to the (Rom e) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.The most likely reason for the acceptance of the WTO package by nations was that

Read the passage carefully and answer the questions given below it.The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since that negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between the principal actors and groups for the United States, which did not want a new organisation, the dispute settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms and more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rules-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rules-based system with those gains. This reasoning – replicated in many countries – was contained in US Ambassador countries – was contained in us Ambassador Kantor’s defence of the WTO, and it amounted to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rules-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists over pragmatists but the mater went deeper than that. The GATT and the WTO, are contract organisatons based on rules, and it is inevitable that an organisation created to further rules will in turn be influenced by the legal process. Robert Hundec has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or, certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximise. As it played out in the WTO, consistency meant integrating under one roof, the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the power of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rules-based system of co-operation, since without these values, rules would be meaningless in the first place. Rules, therefore, create their own incentive for fulfillment. The momentum of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades, the European Court of Justice (ECI) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in the case Cassis de Dijon in 1979 was a key turning point. The Court is now widely recognized as a major player in European integration, even though arguably, such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary community goals set forth in the Preamble to the [Rome] treaty’. The teleological method represents an effort to keep current policies consistent with stated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with stated rules. In both cases, legal concerns and procedures are an independent force for further co-operation. In large part, the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structures and dispute settlement; there are the concerns of conservatives and not revolutionaries, which is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.In the statement “…….. It amounted to recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rules-based on environment”, ‘it’ refers to

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The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer?
Question Description
The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? for CLAT 2025 is part of CLAT preparation. The Question and answers have been prepared according to the CLAT exam syllabus. Information about The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for CLAT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer?.
Solutions for The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? in English & in Hindi are available as part of our courses for CLAT. Download more important topics, notes, lectures and mock test series for CLAT Exam by signing up for free.
Here you can find the meaning of The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer?, a detailed solution for The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? has been provided alongside types of The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? theory, EduRev gives you an ample number of questions to practice The World Trade Organisation (WTO) was created in the early 1990s as a component of the Uruguay Round negotiation. However, it could have been negotiated as part of the Tokyo Round of the 1970s, since negotiation was an attempt at a ‘constitutional reform’ of the General Agreement on Tariffs and Trade (GATT). Or it could have been put off to the future, as the US government wanted. What factors led to the creation of the WTO in the early 1990s? One factor was the pattern of multilateral bargaining that developed late in the Uruguay Round. Like all complex international agreements, the WTO was a product of a series of trade-offs between principal actors and groups. For the United States, which did not want a new organization, the disputed settlement part of the WTO package achieved its longstanding goal of a more effective and more legal dispute settlement system. For the Europeans, who by the 1990s had come to view GATT dispute settlement less in political terms add more as a regime of legal obligations, the WTO package was acceptable as a means to discipline the resort to unilateral measures by the United States. Countries like Canada and other middle and smaller trading partners were attracted by the expansion of a rule-based system and by the symbolic value of a trade organization, both of which inherently support the weak against the strong. The developing countries were attracted due to the provisions banning unilateral measures. Finally, and perhaps most important, many countries at the Uruguay Round came to put a higher priority on the export gains than on the import losses that the negotiation would produce, and they came to associate the WTO and a rule-based system with those gains. This reasoning – replicated in many countries – was contained in U. S. Ambassador Kantor’s defence of the WTO, and it announced to a recognition that international trade and its benefits cannot be enjoyed unless trading nations accept the discipline of a negotiated rule-based environment. A second factor in the creation of the WTO was pressure from lawyers and the legal process. The dispute settlement system of the WTO was seen as a victory of legalists but the matter went deeper thanthat. The GATT, and the WTO, are contract organizations based on rules, and it is inevitable that an organization creating a further rule will in turn be influenced by legal process. Robert Hudee has written of the ‘momentum of legal development’, but what is this precisely? Legal development can be defined as promotion of the technical legal values of consistency, clarity (or certainty) and effectiveness; these are values that those responsible for administering any legal system will seek to maximize. As it played out in the WTO, consistency meant integrating under one roof the whole lot of separate agreements signed under GATT auspices; clarity meant removing ambiguities about the powers of contracting parties to make certain decisions or to undertake waivers; and effectiveness meant eliminating exceptions arising out of grandfather-rights and resolving defects in dispute settlement procedures and institutional provisions. Concern for these values is inherent in any rule-based system of co-operation, since without these value rules would be meaningless in the first place, therefore, create their own incentive for fulfilment. The moment of legal development has occurred in other institutions besides the GATT, most notably in the European Union (EU). Over the past two decades the European Court of Justice (ECJ) has consistently rendered decisions that have expanded incrementally the EU’s internal market, in which the doctrine of ‘mutual recognition’ handed down in Cassis de Dijon case in 1979 was a key turning point. The court is now widely recognized as a major player in European integration, even though arguably such a strong role was not originally envisaged in the Treaty of Rome, which initiated the current European Union. One means the Court used to expand integration was the ‘teleological method of interpretation’, whereby the actions of member states were evaluated against ‘the accomplishment of the most elementary goals set forth in the Preamble to the (Rome) treaty. The teleological method represents an effort to keep current policies consistent with slated goals, and it is analogous to the effort in GATT to keep contracting party trade practices consistent with slated rules. In both cases legal concerns and procedures are an independent force for further co-operation.In the large part the WTO was an exercise in consolidation. In the context of a trade negotiation that created a near-revolutionary expansion of international trade rules, the formation of the WTO was a deeply conservative act needed to ensure that the benefits of the new rules would not be lost. The WTO was all about institutional structure and dispute settlement: these are the concerns of conservatives and not revolutionaries, that is why lawyers and legalists took the lead on these issues. The WTO codified the GATT institutional practice that had developed by custom over three decades, and it incorporated a new dispute settlement system that was necessary to keep both old and new rules from becoming a sham. Both the international structure and the dispute settlement system were necessary to preserve and enhance the integrity of the multilateral trade regime that had been built incrementally from the 1940s to the 1990s.Q.According to the passage, WTO promoted the technical legal values partly through.a)Integrating under one roof the agreements signed under GATT.b)Rules that create their own incentive for fulfilment.c)Ambiguities about the powers of contracting parties to make certain decisions.d)Grandfather-rights exceptions and defects in dispute settlement procedures.Correct answer is option 'A'. Can you explain this answer? tests, examples and also practice CLAT tests.
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