Need for implementation of Multilateral agreement on Investment vis-à-vis Dispute Settlement in WTO

– By Aayushi Singh*

Introduction – Cogs of the same wheel – Trade and FDI

From where do we get the much-assumed co-relation between trade and Foreign Direct Investment (FDI)?  Let us draw from the theory of Grazia Ietto-Gillies who opined that the reason for the growth of FDI and MNCs were rooted in neoclassical economics based on macro-economic principles.[1] These theories were based on the classical theory of trade in which the motive behind the trade was a result of the difference in the costs of production of goods between two countries, focusing on the low cost of production as a motive for a firm’s foreign activity.[2] The relation between trade and FDI flows from this. Analytical work has recently been developed by OECD in order to explore the nature of these links in quantitative terms.[3]
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WTO20LATAM: Regionalism vs Multilateralism

By Emilio Arteaga*

Recently, the World Trade Organization (WTO) celebrated its 20th anniversary, and several events were held in different places around the globe commemorating this historic event. One of them being a round of conferences held in Cancun, Mexico, from December 2nd to December 4th called “Latin American and the Future of International Trade Law” also known as WTO20LATAM. The event reunited trade lawyers, academics and government officials from Latin America, US, and Europe, as well as five Appellate Body Members. The discussions were of a very high quality, as experts gave powerful insights that were later complemented with the opinions of an appellate body member.

regionalism-multilateralism-cancun-latin-america-and-future-of-regional-trade

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