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Economic Theory and the Interpretation of GATT/WTO

Kyle Bagwell and Robert Staiger ()

The American Economist, 2002, vol. 46, issue 2, 3-19

Abstract: Over the past 50 years, a remarkable degree of trade liberalization has been achieved through GATT/WTO negotiations. In this paper, we describe work that provides a theoretical interpretation of this institution. We emphasize two key features of GATT/WTO: reciprocity and enforcement. We also identify important areas for future research. The work described here contributes to the fields of International Trade and Applied Game Theory.

Date: 2002
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