Trade Disputes of WTO (Steel & Wheat)

Introduction

There are many benefits for countries to trade with one another. International trade could increase the wealth of the countries, in terms of GDP and GNP and improve the quality of products and services. Together with regional integration, the countries will enjoy economic and political benefits. Economic benefits could be like reducing or removing tariff and non-tariff barriers that will encourage free flow of products and services and improves the factors of production among the countries. These benefits will directly stimulate the countries economic growth as they start to specialise in the products and services that they can produce most efficiently. For political reasons, countries believe that economic interdependence will make them feel stronger where they are able to voice their positions if they are in the same regional economic bloc, thus enhancing their ability to influence the economic policies of the other countries. It also creates incentives for political ...