Normative Influences of "Special and Differential Treatment" on North-South RTAs

Recently, there has been a surge in bilateral and regional trade arrangements between developed and developing countries, which are known as North-South RTAs. Under the current legal system of the WTO, North-South RTAs are governed by Article XXIV of the GATT or Article V of the GATS, which means such RTAs must be reciprocal and must cover substantially all the trade. On the other hand, there is another category of rules on RTAs based on the so-called Enabling Clause, which, in exceptional circumstances, provides special and differential treatment (SDT) for RTAs among developing countries. This paper considers the applicability of the SDT concept to North-South RTAs by examining why rules on RTAs and the concept of SDT were incorporated into the GATT/WTO legal framework so as to permit the derogation of most-favored-nation (MFN) obligations.

New measures of FTA liberalization level

This paper proposes new measures of the liberalization level of free trade agreements (FTAs). Our measures take three issues into account. First, in order to identify the differences in FTA liberalization level over time, we compute the annual liberalization level rather than the level during the whole period. Second, our measure includes information on tariff margins, i.e. the difference between FTA rates and most favoured nation rates. Third, the restrictiveness of rules of origin (RoOs) is also taken into account in order to penalize the liberalization level of products with more restrictive RoOs. In this paper, we compute such measures of FTA liberalization level for three FTAs in Thailand.

「アラブの春」後の移行期過程 -- 帰結を分ける諸要因

Diverging outcomes are unfolding in the post-Arab Uprising countries' transitional processes. In January 2014, Tunisia successfully adopted a new constitution based on a consensus of the opposing political parties and factions. In contrast, Egypt abolished one constitution and hastily instituted another in a time span of slightly more than a year. Yemen has announced the final document of the National Dialogue Conference in the same month. Libyans finally voted for the long awaited and disputed elections of the Constitutional Drafting Committee in February 2014. The paper picks up three factors which seem to be influential in determining the modality of transitional political process in the four Post-Arab spring countries. The first is the initial conditions of the transitional politics.. Differences in the way the previous regimes collapsed are analyzed to illuminate the continuity and break of the ruling institutions and state apparatus. The second factor is the type of the interim government. In line with Shain and Linz typology, provisional, power-sharing, caretaker, and international interim government models are applied to clarify the types of interim governments in each four countries' different phases in transitional politics. The third is the "rules of the game," particularly those pertaining to the constitutional process. Who set what kind of rules and how are to be considered in each of four countries and possible influences of each set of the rules of the game to the diverging results of the transitional politics are considered.

FTA in international finance : impacts of exchange rates on FTA utilization

This paper investigates how exchange rates affect the utilization of a free trade agreement (FTA) scheme in trading. Changes in exchange rates affect FTA utilization by two ways. The first way is by changing the excess profits gained by utilizing the FTA scheme, and the second way is by promoting the compliance of rules of origin. Our theoretical models predict that the depreciation of exporters' currency against that of importers enhances the likelihood of FTA utilization through those two channels. Furthermore, our empirical analysis, which is based on rich tariff-line-level data on the utilization of FTA schemes in Korea's imports from ASEAN countries, supports the theoretical prediction. We also show that the effects are smaller for more differentiated products.