WTO Dispute Settlement at Ten: Evolution, Experiences, and Evaluation

ENGLISH ABSTRACT: On 1 January 1995, the Understanding on Rules and Procedures Governing the Settlement of Disputes (DSU) entered into force. During its first ten years, the DSU has since been applied to 324 complaints – more cases than dispute settlement under the GATT 1947 had dealt with in nearly five decades. The system is perceived, both by practitioners and in academic literature, to work generally well. However, it has also revealed some flaws. Negotiations to review and reform the DSU have been taking place since 1997 (“DSU review”), however, without yielding any result so far. In the meantime, WTO Members and adjudicating bodies managed to develop the system further through evolving practice. While this approach may remedy some practical shortcomings of the DSU text, the more profound imbalance between relatively efficient judicial decisionmaking in the WTO (as incorporated in the DSU) and nearly blocked political decisionmaking evolves into a serious challenge to the sustainability of the system. This article provides an overview of the first ten years of DSU practice, the on- going DSU review negotiations, and the challenges to the dispute settlement system. GERMAN ABSTRACT: Am 1. Januar 1995 trat das Übereinkommen über Regeln und Verfahren für die Streitschlichtung (Dispute Settlement Understanding; DSU) als Teil des WTO-Abkommens in Kraft. In den ersten zehn Jahren seines Bestehens fand das DSU auf 324 Klagebegehren Anwendung – mehr Fälle, als unter den Streitschlichtungsregeln des GATT 1947 in dessen nahezu fünfzigjähriger Geschichte behandelt wurden. Die Funktionsweise des Systems wird sowohl in der handelspolitischen Praxis als auch in der wissenschaftlichen Literatur als gut eingestuft. Gleichwohl hat der Mechanismus in seiner Anwendung auch einige Schwächen offenbart. Diese sollen auf dem Verhandlungswege („DSU Review“) behoben werden, doch blieben die seit Ende 1997 laufenden Gespräche bislang erfolglos. Zugleich ist es den Mitgliedstaaten und den Spruchorganen aber stellenweise gelungen, das System im Rahmen der praktischen Anwendung fortzuentwickeln. Während auf diesem Weg einige praktische Probleme des Verfahrenstextes behoben werden konnten, dürfte das beträchtliche Ungleichgewicht in der WTO zwischen einem vergleichsweise effizienten juristischen Entscheidungsmechanismus (in Form des DSU) und den häufig blockierten politischen Entscheidungsmechanismen fortbestehen. Dieses Ungleichgewicht bedroht die Systemnachhaltigkeit. Der vorliegende Artikel gibt einen Überblick über die ersten zehn Jahre DSU-Praxis, die laufenden DSU-Review-Verhandlungen sowie einen Ausblick auf zukünftige Herausforderungen.WTO, Dispute Settlement, DSU Review Negotiations

Structural change of European dairy farms - A cross-regional analysis

Previous analyses of dairy farm structural change focused on the variation over time in one or a small number of regions. Here we present an EU-15-wide analysis of the change of the number of farms in different size classes. The purpose is (1) to identify the differences in regional development patterns and (2) to measure the explanatory relevance and effect of key factors suggested in the literature. Apart from the unprecedented scope, the underlying Markov chain analysis also contributes by combining observed transitions in micro data with macro data on farm numbers. Results show widely significant impacts of most explanatory variables, but also reveal the complexity of the underlying processes.Agricultural and Food Policy, Farm Management, Land Economics/Use,

Structural Change of European Dairy Farms- A Cross-Regional Analysis

Previous analyses of dairy farm structural change focused on the variation over time in one or a small number of regions. Here we present an EU15-wide analysis of the change of the number of farms in different size classes. The purpose is (1) to identify the differences in regional development patterns and (2) to measure the explanatory relevance and effect of key factors suggested in the literature. Apart from the unprecedented scope, the underlying Markov chain analysis also contributes by combining observed transitions in micro data with macro data on farm numbers. Results show widely significant impacts of most explanatory variables, but also reveal the complexity of the underlying processes.Structural change, dairy farms, Markov chain, cross-regional, EU, Agricultural and Food Policy,

Farm Structural Change in German Regions - An Empirical Analysis using Micro and Macro Data

General economic developments as well as recent fundamental changes in the Common Agricultural Policy will likely impact significantly on the European farm structure. Although a decline of total farm numbers continues to be the general observation, important differences occur across regions and farm types. These differentiated developments and their determinants are of high relevance for policy impact assessment at the regional level. The main objective of the analysis provided in this paper is to empirically identify whether regionally specific characteristics account for differences in regional farm structure development. This is exemplarily shown for German FADN regions. As methodological approach a combined time series, cross-sectional Markov chain analysis is applied. The non-stationary Markov model is estimated via generalised cross-entropy estimation technique with the transition probabilities being represented as multinomial logit functions of explanatory variables and their coefficients. Prior information on the transition probabilities is obtained from observed single farm movements of the FADN sample.Farm structure, Markov model, Germany, Farm Management,

The Challenge of Reforming the WTO Dispute Settlement Understanding

The May 2003 deadline for the completion of the negotiations on improvements and clarifications of the Dispute Settlement Understanding (DSU) under the Doha Mandate has not been met. However, Members agreed in July 2003 to extend the deadline for the review until the end of May 2004. This article briefly summarises the past six years of negotiations on the DSU review, the most contentious issues and the systemic difficulties of the negotiations. We conclude with prospects for the forthcoming negotiations until 2004.WTO Dispute Settlement Understanding DSU Review

Report No. 3: Assessment of Possible Migration Pressure and its Labour Market Impact Following EU Enlargement to Central and Eastern Europe

Study for the Department for Education and Employment of the United Kingdom, Bonn 1999 (117 pages).