Accueil > Is Not One of the Purposes of the General Agreement on Tariffs and Trade
The General Agreement on Tariffs and Trade, commonly referred to as GATT, is a multilateral trade agreement that outlines rules and regulations for international trade. It was established in 1947 with the aim of reducing barriers to trade and promoting economic growth.
However, there is a common misconception that one of the purposes of GATT is to ensure that every country has an equal opportunity to participate in international trade. This is not entirely accurate.
While GATT does promote the principle of non-discrimination and aims to ensure that all countries have fair access to markets, it does not explicitly state that one of its purposes is to ensure equal opportunity for all.
Instead, GATT focuses on reducing and eliminating tariffs, as well as other barriers to trade, such as quotas and subsidies. By doing so, it seeks to promote the efficient and fair allocation of resources and the growth of international trade.
Another important objective of GATT is to ensure that trade is conducted fairly and transparently. It establishes a framework of rules and regulations that govern trade, such as the principles of Most Favored Nation (MFN) and National Treatment. These principles ensure that countries cannot discriminate against each other in trade, and that imported goods are treated no less favorably than domestic goods.
GATT has been replaced by the World Trade Organization (WTO) in 1995, but the principles of non-discrimination, transparency, and reducing trade barriers remain at the core of the international trading system.
In conclusion, while promoting equal opportunity for all countries is an important goal, it is not one of the explicit purposes of GATT or WTO. Rather, these agreements seek to establish a fair and transparent framework for international trade that benefits all countries involved.