World Trade Organization WTO

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World Trade Organization (WTO)

• By
• Adam Silverstein
• George Stefanou
• Will Leopold

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About

• 152 members
• Geneva, Switzerland
• WTO is run by its member governments
• only international organization dealing with the
  global rules of trade between nations

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Goal and Function

• main function is to ensure that trade flows as
  smoothly, predictable and freely as possible
• The goal is to improve the welfare of the peoples
  of the member countries
• remove tariff and nontariff barriers
• provide a mechanism for solving disputes between
  member states

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History

• WTO is the predecessor to the GATT
  (General Agreement on Tariffs and Trade)
• 1986-1994 GATT negotiations result in the
  Marrakech Agreement that establishes WTO
• January 1, 1995- WTO is formed

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Mechanism Cooperation
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Internal Relationship

• All members join as a result of negotiation thus
  membership is a balance of rights and
  obligations. (Enjoy trade security but agree to
  allow open market access to trade in own country)
• Coalitions have been formed in order to increase
  voice of concern among some countries

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External Relationship

• Difficult for least developing countries to join
• Only members have a voting right
• However, 32 of 50 LDCs have successfully joined
  WTO

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Brazil

• Population-190,010,647
• PPP- 1.838 Trillion
• GDP- 1.269 Trillion
• diversified upper-middle economy with wide
  variations of development levels
• 55.9 free 101st in world

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Canada

• Population- 33,212,696
• PPP- 1.274 Trillion
• GDP- 1.406 Trillion
• High income economy
• 80.2 free 7th in world

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Ukraine

• Population- 45,994,287
• PPP-399.866 Billion29th in world
• GDP-131.2 Billion
• Middle income country
• 51.1 free 133rd in world

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Geo-Demographic Characteristics

• Capital Kyiv (Kiev)
• Area 603,700 km² (233,074 sq mi)
• 44th-largest country second largest country
  Europe
• Coastline of 2,782 km (1,729 mi)
• Landscape
• fertile plains
• plateaus
• Rivers
• Dnieper (Dnipro),
• Seversky Donets
• Dniester
• Southern Buh

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Geo-Demographic Characteristics

• Seas
• Black Sea
• Sea of Azov
• Mountains
• Carpathian Mountains
• Climate
• Mostly temperate continental climate,
• Mediterranean climate is found on the southern
  Crimean coast

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Economic and Development Status

• GDP (purchasing power parity) 321.3 billion
• GDP (official exchange rate) 131.2 billion
• GDP - real growth rate 6.9
• GDP - per capita (PPP) 6,900
• GDP - composition by sector
• agriculture 9.2
• industry 32.6
• services 58.2

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Financial Status

• World Bank Classification middle-income state
• Sector Underdeveloped
• Inadequate local bond market
• Cost of Big Mac
• - 1.89

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Political/Legal System

• Government type Republic
• Legal system based on civil law system judicial
  review of legislative acts
• Constitution adopted June 28, 1996
• Independence August 24, 1991 (from Soviet Union)
• National holiday
• Independence Day 24 August
• Unity Day January 22
• Suffrage 18 years of age universal

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Risk Overview

• Operating Risk - High
• - Tax system unclear, unpredictable
• Security Risk - Low
• - Minor hostility to foreign capital
• Political Risk High
• -President shares power with unfriendly
  coalition
• Infrastructure Risk

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Culture

• Diet
• Chicken
• Pork
• Beef
• Fish
• Mushrooms
• Potatoes
• Grains
• Fresh and pickled vegetables
• Dishes
• Varenyky (boiled dumplings with mushrooms,
  potatoes, sauerkraut, cottage cheese or cherries)
• Borsch (soup made of beets, cabbage and mushrooms
  or meat)
• Holubtsy (stuffed cabbage rolls filled with rice,
  carrots and meat)

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Culture (Cont.)

• State Language - Ukrainian
• 67.5 of the population declared Ukrainian
• 29.6 declared Russian
• Education According to the constitution
• Free education is granted to all citizens.
• Complete general secondary is compulsory in the
  state schools.
• Free higher education in state and communal
  educational establishments is provided on a
  competitive basis.
• Small number of accredited private secondary and
  higher education institutions.

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Religions

• Ukrainian Orthodox - Kyiv Patriarchate 50.4
• Ukrainian Orthodox - Moscow Patriarchate 26.1
• Ukrainian Greek Catholic 8
• Ukrainian Autocephalous Orthodox 7.2
• Roman Catholic 2.2
• Protestant 2.2
• Jewish 0.6
• Other 3.2

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Q A