Fear of Crowds in World Trade Organization Disputes: Why Don't More Countries Participate?
In: The journal of politics: JOP, Band 78, Heft 1, S. 88-104
ISSN: 1468-2508
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In: The journal of politics: JOP, Band 78, Heft 1, S. 88-104
ISSN: 1468-2508
In: The review of international organizations, Band 10, Heft 2, S. 231-264
ISSN: 1559-744X
In: British journal of political science, Band 46, Heft 4, S. 861-889
ISSN: 1469-2112
Transparency is one of the most contested aspects of international organizations. While observers frequently call for greater oversight of policy making, evidence suggests that settlement between states is more likely when negotiations are conducted behind closed doors. The World Trade Organization's (WTO) legal body provides a useful illustration of these competing perspectives. As in many courts, WTO dispute settlement is designed explicitly to facilitate settlement throughprivateconsultations. However, this study argues that the privacy of negotiations creates opportunities for states to strike deals that disadvantage others. Looking at product-level trade flows from all disputes between 1995 and 2011, it finds that private (early) settlements lead to discriminatory trade outcomes – complainant countries gain disproportionately more than the rest of the membership. When the facts of a case are made known through a ruling, these disproportional gains disappear entirely. The article also finds that third-party participation – commonly criticized for making settlement less likely – significantly reduces disparities in post-dispute trade. It then draws parallels to domestic law and concludes with a set of policy prescriptions.
In: British journal of political science, Band 46, Heft 4, S. 1-29
ISSN: 0007-1234
In: British journal of political science, S. 1-29
ISSN: 0007-1234
In: International organization, Band 68, Heft 3, S. 663-699
ISSN: 1531-5088
AbstractThird parties complicate World Trade Organization (WTO) dispute settlement by adding voices and issues to a dispute. However, complainants can limit third parties by filing cases under Article XXIII of the General Agreement on Tariffs and Trade (GATT), rather than Article XXII. We argue that third parties create "insurance" by lowering the benefit of winning and the cost of losing a dispute. We construct a formal model in which third parties make settlement less likely. The weaker the complainant's case, the more likely the complainant is to promote third party participation and to settle. Article XXII cases are therefore more likely to settle, controlling for the realized number of third parties, and a complainant who files under Article XXIII is more likely to win a ruling and less likely to see that ruling appealed by the defendant. We provide empirical support using WTO disputes from 1995 to 2011.
In: International organization, Band 68, Heft 3, S. 663-699
ISSN: 0020-8183
In: The journal of conflict resolution: journal of the Peace Science Society (International), Band 53, Heft 5, S. 774-793
ISSN: 0022-0027, 0731-4086
In: The journal of conflict resolution: journal of the Peace Science Society (International), Band 53, Heft 5, S. 774-793
ISSN: 1552-8766
The aim of this article is to distinguish between strategies in the Iterated Prisoner's Dilemma on the basis of their relative performance in a given population set. We first define a natural order on such strategies that disregards isolated disturbances, by using the limit of time-average payoffs. This order allows us to consider one strategy as strictly better than another in some population of strategies. We then determine a strategy σ to be ''robust,'' if in any population consisting of copies of two types of strategies, σ itself and some other strategy τ, the strategy σ is never worse than τ. We present a large class of such robust strategies. Strikingly, robustness can accommodate an arbitrary level of generosity, conditional on the strength of subsequent retaliation; and it does not require symmetric retaliation. Taken together, these findings allow us to design strategies that significantly lessen the problem of noise, without forsaking performance. Finally, we show that no strategy exhibits robustness in all population sets of three or more strategy types.
In: International studies quarterly: the journal of the International Studies Association, Band 65, Heft 1, S. 109-121
ISSN: 1468-2478
Abstract
Dealing with the distributional consequences of trade liberalization has become one of the key challenges facing developed democracies. Governments have created compensation programs to ease labor market adjustment, but these resources tend to be distributed highly unevenly. What accounts for the variation? Looking at the largest trade adjustment program in existence, the US' Trade Adjustment Assistance (TAA), we argue that petitions for compensation are largely driven by legislative attitudes. When legislators express negative views of TAA, individuals in their districts become less likely to petition for, and receive, compensation. This effect is especially pronounced in Republican districts. An underprovision of TAA, in turn, renders individuals more likely to demand other forms of government support, like in-kind medical benefits. We use roll-call votes, bill sponsorships, and floor speeches to measure elite attitudes, and we proxy for the demand for trade adjustment using economic shocks from Chinese import competition. In sum, we show how the individual beliefs of political elites can be self-fulfilling.
In: Comparative political studies: CPS, Band 54, Heft 13, S. 2354-2381
ISSN: 1552-3829
The United States' Trade Adjustment Assistance (TAA) program seeks to help workers transition away from jobs lost to import competition. By contrast, trade remedies like antidumping seek to directly reduce the effect of competition at the border. Though they have very different economic effects, we show that trade adjustment and protectionism act as substitutes. Using the first geo-coded measure of US trade protectionist demands, we show that controlling for trade shocks, counties with a history of successful TAA petitions see fewer calls for trade protection. This effect holds when we confine our analysis to the steel industry, a heavy user of antidumping duties. And though they are both means of addressing import exposure, the two policy options have distinct political effects: in particular, successful TAA petitions carry a significant electoral benefit for Democratic candidates. Greater recognition of the substitutability of trade compensation and protectionism would improve governments' response to import exposure.
In: International studies quarterly: the journal of the International Studies Association, Band 63, Heft 3, S. 464-476
ISSN: 1468-2478
Abstract
The rulings of internationals courts are often reduced to "who won?," but much more is at stake. Like other institutions, the World Trade Organization (WTO) offers rulings that balance legal discipline against political constraints. We argue that one way in which the WTO handles politically sensitive issues is by increasing the amount of affect in their rulings. In doing so, judges provide national governments with discursive resources to persuade their domestic audiences of the legitimacy of compliance. To test our expectations, we conduct a text analysis of all rulings rendered by the institution since 1995. Specifically, we find that more politically charged decisions, such as the ones concerning nonfiscal rather than fiscal aspects of national treatment claims, are explained in qualitatively different terms. We also find that, as an issue gets ruled on repeatedly, the amount of affect deployed progressively decreases. In sum, the WTO chooses its words strategically to persuade litigants, and their domestic audiences, of the legitimacy of compliance in politically fraught disputes.
In: Political analysis: PA ; the official journal of the Society for Political Methodology and the Political Methodology Section of the American Political Science Association, Band 26, Heft 2, S. 240-245
ISSN: 1476-4989
Multiple imputation (MI) is often presented as an improvement over listwise deletion (LWD) for regression estimation in the presence of missing data. Against a common view, we demonstrate anew that the complete case estimator can be unbiased, even if data are not missing completely at random. As long as the analyst can control for the determinants of missingness, MI offers no benefit over LWD for bias reduction in regression analysis. We highlight the conditions under which MI is most likely to improve the accuracy and precision of regression results, and develop concrete guidelines that researchers can adopt to increase transparency and promote confidence in their results. While MI remains a useful approach in certain contexts, it is no panacea, and access to imputation software does not absolve researchers of their responsibility to know the data.
In: The journal of conflict resolution: journal of the Peace Science Society (International), Band 61, Heft 2, S. 398-429
ISSN: 1552-8766
Hard times give rise to greater demand for protection. International trade rules include provisions that allow for raising barriers to aid industries when they suffer economic injury. Yet widespread use of flexibility measures may undermine the trade system and worsen economic conditions. How do states balance these conflicting pressures? This article assesses the effect of crises on cooperation in trade. We hypothesize that governments impose less protectionism during economic crisis when economic troubles are widespread across countries than when they face crisis in isolation. The lesson of Smoot–Hawley and coordination through international economic institutions represent mechanisms of informal governance that encourage cooperation to avoid a spiral of protectionism. Analysis of industry-level data on protection measures for the period from 1996 to 2011 provides support for our claim that under conditions of shared hard times, states exercise strategic self-restraint to avoid beggar-thy-neighbor policies.
In: International organization, Band 64, Heft 2, S. 257-279
ISSN: 1531-5088
AbstractInternational institutions often moderate the legal decisions they render. World Trade Organization (WTO) panels do this by exercising judicial economy. This practice, which is evident in 41 percent of all rulings, involves the decision not to rule on some of the litigants' arguments. The constraint is that it can be appealed. We argue that panels exercise judicial economy when the wider membership is ambivalent about the future consequences of a broader ruling. This is proxied by the "mixed" (that is, nonpartisan) third-party submissions, which are informative because they are costly, jeopardizing a more decisive legal victory that would benefit these governments too. We empirically test this hypothesis, and find that mixed third-party submissions increase the odds of judicial economy by upwards of 68 percent. This suggests that panels invoke judicial economy to politically appease the wider WTO membership, and not just to gain the litigants' compliance in the case at hand.