What Are the Advantages and Disadvantages of the WTO?
Proponents of the WTO, or World Trade Organization, assert that it creates a strong, stable international economy, while opponents contend that it favors wealthy, developed nations and is widening the global divide between the rich and poor.. The WTO was created in 1995 to encourage and regulate trade between its over 150 participating member nations. The primary objective of the WTO is to create economic growth and encourage free trade among nations: supporters contend the WTO creates economic opportunities, while others say it is disfavors lower class citizens, limiting their opportunities for social and economic mobility.
Those in favor of the WTO say that its positive impact extends beyond just economic benefits. By creating a strong international economy, proponents contend, the WTO in turn creates an international framework of political stability, and offers a solid foundation for promoting international peace by encouraging good political relations among member nations and providing a solid dispute resolution process. Opponents, however, argue that the WTO is only widening the global income gap between the wealthy and poor: as the rich get richer, the poor get poorer. They also contend that the WTO favors prosperous countries and multinational corporations, while preventing smaller and poorer countries from having a fair shot of engaging in open market trades and exchanges.