Theme 4: World trade Organisation

Question 1

What are the two key functions of the WTO?

Answer 1

1. Organising rounds of talks
2. Settling trade disputes

Question 2

What diagram could you use to demonstrate trade deals?

Answer 2

Tariff diagram

Question 3

What is the world trade organisation?

Answer 3

An organisation of 164 countries that regulate world trade.

Question 4

What are the 2 effects trade blocks have on trade?

Answer 4

1. Trade creation imports increase as a result of the removal of tariffs
2. Trade diversion where trade moves from low cost producers to high cost producers.