GATT and Global Trade Principles

The video discusses the General Agreement on Tariffs and Trade (GATT), a treaty signed in 1947 by 23 countries to minimize trade barriers. GATT aimed to eliminate protectionism and encourage free trade, holding eight rounds of meetings with significant outcomes. It introduced the most favored nation principle and addressed issues beyond tariffs, leading to the creation of the World Trade Organization (WTO) in 1995. GATT's purpose was to restore economic prosperity post-World War II by promoting trade without discrimination. The WTO replaced GATT to better address new international trade issues.

What was the primary goal of the General Agreement on Tariffs and Trade (GATT) when it was signed in 1947?

• To minimize barriers to international trade

• To increase tariffs on international trade

• To promote protectionism

• To establish a single global currency

In what year did GATT become law after being signed?

• 1948

• 1946

• 1950

• 1945

Which principle was a key achievement of GATT, ensuring trade without discrimination?

• Currency Exchange Rate

• Trade Embargo

• Most Favored Nation

• Protectionist Tariff

What was one of the undesirable features of the pre-war protectionist period that GATT aimed to restrict?

• Currency stabilization

• Free trade agreements

• Trade controls

• International tourism

How many rounds of meetings did GATT hold between 1947 and 1993?

• Five

• Eight

• Ten

• Twelve

What was one of the broader issues addressed by GATT beyond tariff reduction?

• Trade in textiles

• Environmental regulations

• Labor laws

• Currency manipulation

What was the purpose of GATT in the context of post-World War II recovery?

• To establish military alliances

• To enforce strict trade quotas

• To promote free trade and economic prosperity

• To create a new global currency

What was the main reason for the creation of GATT?

• To enforce strict immigration laws

• To create a new global currency

• To eliminate protectionism and encourage free trade

• To establish a global military alliance

Why was GATT replaced by the World Trade Organization (WTO) in 1995?

• GATT was only applicable to European countries

• WTO had a more coherent institutional structure

• WTO was a temporary organization

• GATT was too focused on agriculture

Which organization was created as a result of GATT's efforts in 1995?

• United Nations

• World Trade Organization

• World Health Organization

• International Monetary Fund