ECONOMICS
ECONOMIC INSTITUTIONS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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WTO is a permanent organisation
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Uruguay round gave the birth to the WTO
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WTO was officially constituted on 1 January 1991.
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Ministerial Conference is the highest policy making body of the WTO
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Detailed explanation-1: -Which of the following statement is not true about the WTO? (d). WTO was officially constituted on 1 January 1991. Explanation: The members of the GATT signed an agreement during the Uruguay round in April 1994 and on January 1, 1995 the WTO was established.
Detailed explanation-2: -The World Trade Organization (WTO) is the only global international organization dealing with the rules of trade between nations. Hence, Statement 1 is correct. At its heart are the WTO agreements, negotiated and signed by the bulk of the world’s trading nations and ratified in their parliaments.
Detailed explanation-3: -The correct option is (D). The General Agreement on Tariffs and Trade (GATT) created the World Trade Organization. GATT is an agreement which in place from 1948 to 1994 which is then replaced by WTO. GATT deals in trade in goods while WTO deals in both goods and services.
Detailed explanation-4: -WTO stands for World Trade Organization. It functions to regulate international trade. It does not help to settle border disputes of member countries.
Detailed explanation-5: -To facilitate the expansion and balanced growth of international trade is a function of IMF not WTO.