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During the past half-century, states have established a large number of international trade institutions, both multilateral and regional in scope. The existing literature on this topic emphasizes that these agreements are chiefly designed to liberalize and increase the flow of overseas commerce. Yet such institutions have another function that has been largely ignored by researchers, namely, reducing volatility in trade policy and trade flows. Exposure to global markets increases the vulnerability of a country's output to terms of trade shocks. Governments seek to insulate their economies from such instability through membership in international trade institutions, particularly the World Trade Organization (WTO) and preferential trading arrangements (PTAs). We hypothesize that these institutions reduce the volatility of overseas commerce. We further hypothesize that, because market actors prefer price stability, trade institutions increase the volume of foreign commerce by reducing trade variability. This article conducts the first large-scale, multivariate statistical tests of these two hypotheses, using annual data on exports for all pairs of countries from 1951 through 2001. The tests provide strong support for our arguments. PTAs and the WTO regime significantly reduce export volatility. In so doing, these institutions also increase export levels.

Preliminary Material /Russell Miller and Rebecca Bratspies -- Foreword: Progress in International Law? /José E. Alvarez -- Progress in International Law – an Explanation of the Project /Russell a. Miller and Rebecca M. Bratspies -- Evidence and Promise of Progress: Increased Interdependence, Rights and Responsibilities, Arenas of Interaction, and the Need for More Cooperative Uses of Armed Force /Jordan J. Paust -- Making Progress in International Institutions and Law /Barry E. Carter -- The Turning Aside. On International Law and Its History /Alexandra Kemmerer -- The Necessity of International Law against the A-normativity of Neo-Conservative Thought /Sergio Dellavalle -- Yom Kippur in Hell: the Empty Life of International Law /Ed Morgan -- Progress in International Organization: a Constitutionalist Reading /Christian Walter -- On the Borders of Justice: an Examination and Possible Solution to the Doctrine of Uti Possidetis /Daniel Luker -- The Evolving Role of Treaties in International Law /Karin Oellers-Frahm -- Customary International Law in the 21St Century /Andrew T. Guzman and Timothy L. Meyer -- Treaties as Domestic Law in the United States /Alex Glashausser -- The "Unsatisfactory Condition" of Customary International Law in the United States /Julian G. Ku -- In Quite a State: the Trials and Tribulations of an Old Concept in New Times /Florian Hoff Mann -- Between Incapacity and Indispensability: Th E United Nations and International Order in the 21St Century /Andreas Paulus -- Coordination of International Organizations — Intellectual Property Law as an Example: Can There Be Safety in Numbers? /Karen Kaiser -- Individual Progress in International Law: Considering Amnesty /Leila Nadya Sadat -- The Challenges of Evaluating NGO "Success" in Cross-Border Rights Initiatives: the Examples of the International Campaign to Ban Landmines and the Autotrim/Customtrim Initiative under the NAFTA Labor Side Agreement /Monica Schurtman -- Paradoxes of Personality: Transnational Corporations, Non-Governmental Organizations and Human Rights in International Law /Russell A. Miller -- Transnational Networks and the International Public Order /Jenia Iontcheva Turner -- Progress in International Adjudication: Revisiting Hudson's Assessment of the Future of International Courts /Cesare P R. Romano -- The "Precedential Judge Hudson"? Rivers, Oceans, Equity, and International Tribunals /Betsy Baker -- The Role of Transnational Judicial Dialogue in Shaping Transnational Speech: International Jurisdictional Conflicts in Hate Speech and Defamation Law /Melissa a. Waters -- Expanding Influence: Regional Human Rights Courts and Death Penalty Abolition /Kelly Parker -- Triumph of Progress: the Embrace of International Commercial Arbitration /Mary a. Bedikian -- International Security and the Use of Force /Abraham D. Sofaer -- Reforming the Security Council to Achieve Collective Security /Brian J. Foley -- Security Multilateralism: Progress and Paradox /Margaret E. McGuinness -- Legality versus Legitimacy and the Use of Force /Petr Válek -- The Phantom of the Neo-Global Era: International Law and the Implications of Non-State Terrorism on the Nexus of Self-Defense and the Use of Force /L. Waldron Davis.

Analysing developments across antitrust, criminal and human rights law, this text explains how the principles of sovereignty and territoriality have been undermined, and develops a new theory of international jurisdiction based on the concept of subsidiarity