World Trade after the Uruguay Round: Prospects and Policy Options for the Twenty-First Century

By Harald Sander; András Inotai | Go to book overview
Save to active project

8

LINKING TRADE AND ENVIRONMENT TO PROMOTE SUSTAINABLE DEVELOPMENT

Nevin Shaw and Arthur J. Hanson


INTRODUCTION

The World Trade Organization (WTO) was established on 1 January 1995, to oversee the administration of improved or new trade rules which resulted from the Uruguay Round of Multilateral Trade Negotiations. It is more global in membership than the General Agreement on Tariffs and Trade (GATT) and much wider in scope of commercial activities covered. It will begin to reverse protectionism in textiles and clothing, agriculture, services and other sectors. In this context, it is asserted by many governments and business that the Uruguay Round will significantly improve future prospects and policy alternatives to promote a transition to sustainable development, including protection of the environment. However, detailed analyses and implications, positive as well as negative, remain to be carried out in light of the actual manner of implementation of trade commitments made.

The optimistic forecasts of the impact of the Uruguay Round immediately face at least two kinds of reactions. First, this will not bring about an equitable distribution of income. Second, it will not result in an efficient allocation of resources as there are imperfections in various markets. In particular, markets fail to allocate resources in keeping with social goals where social interests fail to coincide with those of individuals. For example, the cost of harm to the environment is not incorporated in the private cost of production, consumption and disposal of a product. Such a cost is increasingly claimed to be significant, but related practical and ethical issues have yet to be resolved.

The 1992 United Nations Conference on Environment and Development tried to address these issues through a statement of principles in the Rio Declaration and to give effect to the principles through an integrated programme of domestic and international action, Agenda 21. Chapter 2 of Agenda 21 concluded that domestic policies must be supported by a dynamic international economy and an open, equitable, secure, non-discriminatory and predictable multilateral trading system. In particular, there must be better market access for exports of developing and transition economies, a provision

-134-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
Loading One moment ...
Project items
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited page

Bookmark this page
World Trade after the Uruguay Round: Prospects and Policy Options for the Twenty-First Century
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

While we understand printed pages are helpful to our users, this limitation is necessary to help protect our publishers' copyrighted material and prevent its unlawful distribution. We are sorry for any inconvenience.
Full screen
/ 200

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.

Are you sure you want to delete this highlight?