Developing Country Use of the WTO Dispute Settlement System: Why it Matters, the Barriers Posed

Abstract

This chapter examines the barriers posed for smaller and poorer World Trade Organization (WTO) members to challenge trade barriers under the WTO's dispute settlement understanding. It first addresses the implications of the judicialization of the WTO's dispute settlement system. It next examines reasons why participation in the WTO's dispute settlement system matters. It then summarizes the results of studies of the system's use and, in light of these findings, posits explanations for smaller developing countries' lack of engagement.

Keywords: WTO dispute settlement, developing countries, legal capacity, judicialization, implementation periods, aggregate stakes, participation, systemic effects, terms of trade, bargaining, legal shadow, litigation, enforcement, balance of power, legal consciousness, institutional bias, rule of law

JEL Classification: F13, F14, F53