NATIONAL TRADE LAWS AND  INSTITUTIONS
DEVELOPING COUNTRIES IN THE TRADING SYSTEM

CD27 Syllabus                                                                       Course Structure Index
Professor Michael Hart

 

This module considers the role of the developing countries in the international trading system. It will provide students with an overview of the role of trade in economic development, the role of the developing countries in the trading system, the policy choices exercised by selected developing countries in designing their trade and economic policies, and the consequences of those choices. The course will pay particular attention to the role of the developing countries in the World Trade Organization (WTO) and in the Uruguay Round negotiations leading up to the establishment of the WTO.

Topics

The course will cover the special economic, political and institutional problems faced by developing countries, inlcuding problems of governance, poverty, lack of resources and infrastructure, dependence on a narrow range of tradable commodities, and consider how these problems have influenced the development of both a mindset and a set of special rules providing them with ‘special and differential treatment,’  the impact of these rules, and the gradual impact of changes in both attitudes and the rules over the last decade. Specific topics that will be covered include the role of developing countries in the negotiation of the GATT and the WTO, the application of GATT article XVIII and the development of GATT’s Part IV, the rise and decline of UNCTAD, the use and abuse of commodity agreements, the special problems of trade in textiles and clothing, and trade in agriculture, the development of the Generalized System of Preferences, and the issue of ‘graduation.’

Readings

The readings for each week may amount to more than what most students have either the time or inclination to read. That is understood. The available material is of uneven quality and no single source provides adequate coverage or explanation. As a result, the readings are divided into required and suggested selection. Together, they provide a range of selections on the material to be covered each week, written from a variety of perspectives. Students are encouraged to read as much as possible. A copy of the required reading has been placed on one-hour reserve in the library.

Grading

Students will work together to simulate a meeting of the WTO Trade Policy Review Body examining the trade policies of three developing countries, one from East Asia, one from Latin America, and one from Africa. Teams of students will prepare themselves to present and defend the trade policies of these three countries and to question the other country teams. All students will do a cable reporting on the results of the meeting. Preparation for and participation in the simulation will count for 50 percent, the reporting cable for 30 percent, and class participation will count for the final 20 per cent of the course grade.

Office Hours

Professor Hart will maintain office hours at the Trade Center on Tuesdays and Thursdays from 10:00-12:00 or by appointment (647-6535).

Week One

Topics

·         Competing perspectives on the problems of economic development and the role of trade.

·         The historical experience of developing countries in the international economy and the governing institutions of the international economy: GATT, WTO, UNCTAD, the UN, and regional institutions.

·         Planning for simulation exercise, selection of country teams, secretariat, chair.


Week Two

Topics

·         guest lecture by Minister Kobayashi from the Japanese Embassy in Washington.

·         Developing countries in the Uruguay Round ­ ­- changing perspectives and results.

·         The Latin American experience: Brazil, Argentina, Costa Rica.

 

Week Three

Topics

·         The Asian experience: India, Korea, Thailand, Indonesia

·         The African experience: Nigeria, Kenya, Zimbabwe, South Africa

 

Week Four

Topics

  • Simulation of WTO Trade Policy Review Body – examination of three developing countries: one Asian, one Latin American, one African.

  • Special problems for developing countries in the trading system: regionalism, trade and labour, trade and the environment.

 

Required Readings

1.       Anne O. Krueger, Trade Policies and Developing Nations (Washington: Brookings Institution, 1995), all ­ --available in the bookstore.

2.       Michael Trebilcock and Robert Howse, The Regulation of International Trade (London: Routledge, 1995), pp. 301—330.

3.       Will Martin and L. Alan Winters, “The Uruguay Round: a milestone for the developing countries,” in Will Martin and L. Alan Winters, eds., The Uruguay Round and the Developing Countries (Cambridge: Cambridge University Press, 1996), pp. 1-29.

4.       Soogil Young, “Political Economy of Trade Liberalization in East Asia,” in Jeffrey J. Schott, ed., The World Trading System: Challenges Ahead (Washington: Institute for International Economics, 1996), pp. 141-149.

5.       Source for Latam – to be provided

6.       Source for Africa – to be provided

7.       Nicolas Ardito-Barletta, “ Managing Development and Transition,” in Peter B. Kenen, ed., Managing the World Economy: Fifty Years After Bretton Woods (Washington: Institute for International Economics, 1994), pp. 173-223.

Supplemental Readings

  1. David Greenaway and Chris Milner, Trade and Industrial Policy in Developing Countries: A Manual of Policy Analysis (Ann Arbor: The University of Michigan Press, 1993).
  2. Robert E. Hudec, Developing Countries in the GATT Legal System (London: Harvester Wheatsheaf for the Trade Policy Resarch Centre, 1988).
  3. Diana Tussie and David Glover, eds., The Developing Countries in World Trade (Boulder: Lynne Riener, 1993).
  4. Will Martin and L. Alan Winters, eds., The Uruguay Round and the Developing Countries (Cambridge: Cambridge University Press, 1996).
  5. Jeffrey J. Schott, ed., The World Trading System: Challenges Ahead (Washington: Institute for International Economics, 1996).
  6. Anne O. Krueger, Economic Policies at Cross-Purposes: The United States and Developing Countries (Washington: Brookings Institution, 1993).
  7. OECD, Linkages: OECD and Major Developing Economies: (Paris: OECD, 1995).
  8. Lawrence E. Harrison, Underdevelopment is a State of Mind: The Latin American Case (Lanham, Md; Harvard Center for International Affairs, 1985).

Cases and Empirical Material

GATT and WTO, Trade Policy Review for ------------------ various developing countrie.
Internet sites for WTO and individual countries.

 

OUTLINE
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