Complementarity Competition Theory -- Regional Groups and the Multilateral Trade System

Author: Liu Guangxi
Publisher:
Publish Date: 2006-01-01
Features: "The Theory of Complementary Competition—Regional Groups and the Multilateral Trading System" is the result of the author's long-term work and reflections in China's negotiations for the restoration of GATT/entry into the WTO. Starting from the legal rules of the General Agreement on Tariffs and Trade (GATT) regarding regional groups, it studies the recent new developments in regional groupings. From a combination of theory and practice and a dynamic perspective, it elaborates on the relationship between the multilateral trading system and regional groupings. In "The Theory of Complementary Competition—Regional Groups and the Multilateral Trading System," it proposes the argument of "complementary competition." This viewpoint not only holds considerable theoretical value but also has significant practical implications for formulating policies on participation in the multilateral trading system and regional economic cooperation. The theory of "complementary competition" can be seen as a positive stance, as well as a realistic choice. Upholding an open regionalism stance and achieving gradual liberalization of regional trade and investment through extensive regional economic and trade cooperation may be a necessary step toward global trade and investment liberalization. This is no longer just an economic theory issue; it has become an unavoidable reality in the process of global economic integration.