Working Paper: CEPR ID: DP6020
Authors: Henrik Horn; Petros C. Mavroidis
Abstract: This paper surveys the law and economics literature on WTO dispute settlement. As a background, we first briefly lay out main features of the legal framework, and discuss possible roles of a dispute settlement mechanism. We then discuss the two main themes in the empirical literature on dispute settlement: (i) the determinants of participation by members as complainants, respondents and third parties; and (ii) the role of the DS system for the settling of disputes. The paper finally points to a number of areas that are in need of further research.
Keywords: WTO Dispute Settlement; DSU
JEL Codes: F13
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| DS mechanism (E13) | likelihood of settling disputes (J52) |
| legal capacity and power dynamics (K36) | complainant behavior (K42) |
| DSU (Y40) | participation of smaller and poorer countries in dispute process (O17) |
| power imbalance (D74) | likelihood of poorer countries initiating disputes (F51) |
| political governance (D72) | likelihood of democracies initiating disputes (D74) |
| DSU (Y40) | duration of disputes (J52) |