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ITRN 603.003 – Spring2015

[Draft]

GLOBAL TRADE RELATIONS

– Dr. Stuart Malawer -

Professor Stuart S. Malawer, J.D., Ph.D. Spring Semester 2015

Office Hours: Wednesday 3:00 -4:00 p.m. ITRN 603.002 (Tuesday 7:20) (Rm. TBA)

ITRN 603.001 (Wed. 4:30) (Rm. TBA)

E-Mail: smalawer@gmu.edu; StuartMalawer@msn.com .

Phone: 703.993.4137 Draft October 2014(1)

My Website for this class is www.Global-Trade-Relatoins.com . Please refer to it once the semester starts.

Stuart Malawer, J.D., Ph.D., is the Distinguished Service Professor of Law & International Trade,

George Mason University (School of Policy, Government and International Affairs).

INTRODUCTION

“International Trade Relations” examines the political, legal and institutional aspects of today's global

trading system. It focuses on the WTO and the role of the United States in global trade relations. In

particular, this course assesses critical issues concerning global trade. This assessment is from both public

and private sector perspectives. Issues examined relate to the World Trade Organization, its Dispute

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Resolution System (including recent U.S. - China trade disputes), the latest round of global trade negotiations

(Doha and Bali) and prospects of revising it. Issues also considered are those relating to the U.S. system as it

interfaces with the WTO and the global trading system. In addition, the following specific topics are

examined relating to the role of the United States in global trade relations: the constitutional concepts of

separation of powers and federalism, extraterritoriality of U.S. international economic regulation, trade

agreements / "fast track," import relief, export controls, trade sanctions, corruption and corporate

responsibility, global antitrust and global mergers.

This course is taught through lectures, class discussion, team presentation and guest lectures.

Questions posted on this website form the basis of most class sessions and students are expected to consider

them prior to each class as well as material posted on my News Page and Blog. The principal material used

this class is the actual documents emanating from official sources -- which are provided on this website and in

the sourcebook. They need to be reviewed prior to each class. The course is highly interactive and class

participation may be considered as part of the final grade.

The assignments include one examinations (mid-term), one team project /PowerPoint Presentation (on

recent DSU cases involving U.S. and China, and one individual essay on U.S. international economic

legislation. The exam counts 50% of the final grade and each project is 25%. [Good class participation can

raise the final grade.] My website is continuously updated through the year.

http://www.InternationalTradeRelations.com/ . It contains many useful links to government and

international publications and daily news updates. The "Global News Page" on my website as well as my blog

Global Trade Relation (http://www.GlobalTradeRelations.com/) is updated almost daily.

Recommended: Stuart Malawer, "WTO Law, Litigation & Policy." (2008) (Wm. S. Hein & Co.) (Click link for pdf file of

the book.).

ASSIGNMENTS

CLASS I: Introduction & World Trade Organization – Pt. 1 (Global Trade & WTO).

--- Global Governance & Global Trade ---

"Global Trends 2025 -- A Transformed World." (Executive Summary) (National Intelligence

Council, 2008) (globalization & national security -- major trends). "Global Governance 2025 -- A Critical Juncture." (Executive Summary). (National Intelligence

Council & ISS, Nov. 2010). "Sixty-Year History of Trade Relations." (Excerpts -- Introduction, Conclusion) (WTO 2007). Speech by Tom Donilon, "The U.S. and Asia." (White House March 11, 2013) (cyber espionage,

trade and national security).

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"Global Trends 2030 -- Alternative Worlds."` p. 51 (Governance) and p. 100 (U.S. & Int'l System)

(National Intelligence Council, 2012). "From Missiles to Trade -- From Geopolitics to Geoeconomics." Financial Times (Nov. 22, 2013).

--- Introduction to Global Trade & the WTO ---

Sourcebook (Malawer): ”Overview of WTO System & WTO Litigation.” Malawer 2-107.

Lamy, "Future of the International Trading System." WTO News (November 26, 2012).

Lamy, "Stand Up for Multilateralism." WTO News (December 15, 2011) ("Panel on Multi-

Stakeholders of the WTO").

Lamy, "Multilateralism is Struggling." WTO News (Sept. 24. 2012).

WTO Groupings (Diagram 2008).

Map of DSU Disputes .

*Lamy, "Farewell Speech -- "Strengthening the WTO." WTO News (July 24, 2013).

"WTO Panel Report on Defining the Future of Trade." 27-39 (WTO April 24, 2013).

"2013 Trade Policy Agenda and 2012 Trade Policy Report." 1-10 (USTR 2013).

"2014 Trade Policy Agenda and 2013 Trade Policy Report." 1-17 (USTR 2014).

Video: “From GATT to WTO – Achievements & Challenges.” (online video) (Go to the video listed last

on the 1st column.). (For outline click here).

Malawer, “Trade Agreements & Uruguay Round,” "U.S. Law & Global Trade." (2014) (PowerPoint)

(Basic, WTO Agreements, and Non-Discrimination principles) -- #50, # 52, # 60 - # 64).

GATT Articles 1, 3 , 6, 16, 19, 20, 21 Edited GATT 1947

Discussion Questions.

See Discussion Questions "WTO".

How has the definition of trade changed from 1945 to today, in some 70 years? What is the Obama trade agenda for this year (2014)? What does it indicate about regional and

multilateral negotiations? What is the growing role of trade policy as it relates to national security issues in the U.S.? Why are global trade issues and globalization (WTO and the DSU in particular) becoming critical and

central to both foreign policy and domestic politics? What is the threat of terrorism to global trade?

What are some questions concerning China's role in the WTO and global trading system? What are the most important articles of the GATT Agreement and what do they provide? What are the main characteristics of the WTO system as it was established in 1995 at the conclusion of

the Uruguay Round?

What is the role of 'unanimity' ('consensus') as the governing principle for WTO decisionmaking? What is the place of the WTO system within the larger international legal system? What is the role of

the WTO in global governance?

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What is the role of the dispute resolution system within the context of governance?

What is the notion of a rules-based system where rules are negotiated and then adjudicated by the

WTO? What is the most-favored nation principle (GATT Article 1) and the national treatment principle

(GATT Article 3)? How are they related to the principle of non-discrimination?

What is the relation of the GATT to the Havana Charter and to the post-war economic system (IMF &

World Bank)? What are the "Singapore Issues" and Singapore Agreements (1997)." What are some of the most important existing and newer trade issues today? Commercial

cyberespionage (theft of intellectual property rights)? By China? By the U.S. / NSA? What is the role of the WTO in the trade enforcement policy of the U.S.?

CLASS II: World Trade Organization – Pt. 2 (Trade System & Doha Trade Negotiations).

WTO & DOHA & BALI.

Sourcebook (Malawer): ”Selected WTO Agreements.” Malawer 282-443.

*Malawer, “Trade Agreements & Uruguay Round,” "U.S. Law & Global Trade." (2014)

(PowerPoint) . #65 (Doha Round); #24 - # 26 (A/D, CVD & Safeguards).

*GATT Article 6 / 6 (A), 19. Edited GATT 1947

Review of the GATT 1947 (Articles 1, 3, 6, 13, 15, 16 / 16(A), 19, 20, 21)

*(Edited GATT 1947). (Exports, exchange controls, general exceptions and security).

*“DOHA Ministerial Declaration.” (November 20, 2001). Malawer 82-92.

*Video: “To the Heart of the WTO (Brazil & Norway).” (January 2003). (For outline click here)

(Online video).

“10 Benefits of WTO Trading System.”

“10 Common Misunderstandings.”

Agricultural Trade Negotiations (Foreign Agricultural Service, USDA)

"Harvesting Poverty," New York Times (2003).

"From Doha to Bretton Woods II." Foreign Affairs (Jan. / Feb. 2009).

"Sutherland, "The World Will Regret its Neglect of Doha." Financial Times (Jan. 28, 2011).

Lamy, "Geopolitics and Trade." WTO News (Jan. 29, 2013).

The Director General of the WTO Azevedo discusses the success of the Bali Ministerial, its three

pillars (agriculture, trade facilitation, development), and the importance of the multilateral system.

"Bali is Just the Start." WTO News (January 6, 2014).

For the post-Bali and the WTO seems to be "incrementalism vs. all encompassing" or "banquet vs.

sushi." "Approaches after Bali." Financial Times (Jan. 24, 2014).

Discussion Questions.

What is the impact of globalization on U.S. export policy today?

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What are the GATT provisions governing dumping, subsidies, and safeguards? What are the articles of GATT governing export restrictions, exchange arrangements, general

exceptions and national security? What was the unkept promise of Uruguay? How would you describe the agricultural issue within the Doha round?

What is the concept of the "multifunctionality of agriculture"? What are the "three pillars" of agriculture negotiations?

What did Doha do concerning pharmaceutical patents and public health? What issues are the developed countries primarily interested in at Doha / Bali? What about the Singapore issues and the July 2004 Package? What are the main issues confronting the WTO after Bali? Will bilateral agreements and regional trade agreements (RTA), such as the TPP and TTIP, supplant

the DOHA approach? What about greater reliance on "plurilateral agreements over multilateral ones? What was DOHA Lite? What was the Bali outcome (December 2013)? Its three pillars? What is the future of the WTO and multilateral trade negotiations after Bali and Doha? After India's

new election?

CLASS III. WTO -- Dispute Resolution System # 1.

[Teams & Topics to be Assigned.]

Sourcebook (Malawer): ”Selected Articles” (Five Lessons & 10-Year Review) Malawer 213-247; “DSU

Agreement” Malawer 308-327 (Articles 3, 19, 21, 22) .

*Malawer, Summary Chart of WTO Cases Filed (1995-2012). (Data from 2012 DSB Report / "State of

Play")

*DSU (Edited).

DSU Summary.

Map of DSU Disputes (2014).

USTR Enforcement Newsletter (Monthly).

Interagency Enforcement Center.

Subsidies Enforcement.

Malawer, "U.S. & WTO Litigation, 1995 - 2012." (Snapshot Chart) (From USTR data).

Malawer, "China WTO Litigation (2001-2013)." (Chart). (China as Complainant and Respondent)

(From WTO data).

Malawer, "Win / Loss Chart in U.S. - China WTO Litigation." (April 25, 2013).

*Malawer, "U.S. - China Litigation in the WTO (2001-2014). (International Law Practicum). (Watson

Review of this Article. 2014)

*Malawer, "U.S. - China Litigation in the WTO," New York Law Journal (Aug. 2013).

*Video: “Solving Trade Disputes.” (For outline click here) (Online video).

*Malawer, "World Trade Organization & Dispute Resolution." # 27 - # 34 (basic provisions and

procedures), # 50 - # 52 (2014). (PowerPoint).

Malawer. "LDC in the WTO / DSU (1995-2004)." (3 slides).

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A new study released this July by the WTO and written by Professor Craig VanGrasstek presents, in

part, a statistical assessment of WTO litigation relying upon data compiled by the WTO. Chapter 7

— “Dispute Settlement” in C. VanGrasstek, “The Future and History of the WTO.” 233, 248, 250

(2013).

Discussion Questions

What is the significance of the U.S. - Venezuela Reformulated Gasoline Case? What is the difference between the GATT and WTO dispute resolution systems? What is the impact of decisions of the panel or Appellate Body (DSU Article 19)? What is the

relevance of this to sovereignty? What is the nature of sanctions under the DSU (DSU Articles 22)? What is the role of various states in the DSU over the last 24 or so years? What were the expectations of the WTO members concerning the DSU in 1995? Have they been

met? What are they today? What are the major procedural stages in litigation within the DSU? How are sanctions authorized? What role does the WTO have concerning export restrictions? What is the impact of litigated decisions in the WTO system? What is the role of precedent in the

dispute resolution system? What does the record of China's litigation in the WTO indicate about trade relations with the U.S? Why hasn't a case been filed concerning Yuan valuation? What's the significance of a lower Yuan

exchange rate on Chinese export prices?

CLASS IV. WTO – DISPUTE RESOLUTION SYSTEM # 2 (Focus on U.S. - China Trade Litigation in the

WTO).

Sourcebook: ”Summary of WTO Litigated Decisions.” Malawer 443-675; "Edited WTO Cases."

Malawer 788 - 890; "News of WTO Cases." 2001-2006. Malawer 892- 1039.

Malawer, "World Trade Organization & Dispute Resolution." # 52 - # 58 (observations). (2014).

(PowerPoint).

"U.S. Trade and Investment Policy" (Council on Foreign Relations) 45-53 (Sept. 2011). (Report).

Lawrence, “The U.S. & the WTO Dispute Settlement System.” 1-6 (Council on Foreign Relations

2007).

"Appeals Filed (1995 - 2011)." (AB Annual Report, 2012).

*Cases Filed in 2012 (from 2013 WTO Annual Report) (3 charts).

"Dispute Settlement." WTO Annual Report for 2014.

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Litigation in the WTO as supplanting negotiations (when they fail) is criticized by some as

"jurisprudential overreach" -- as well as "investor-state litigation" under other treaties concerning

direct investments. "How Lawsuits are Coming to Dictate the Terms of Trade." Financial Times

(3.20.2007).

While WTO litigation is expanding, especially between the U.S. and China, its importance is really in

restricting future defensive trade remedies (actions such as antidumping and subsidies.) These

actions really don't consider the global supply chain. "Decommissioning the Misfiring Weapons of

Trade Warfare." Financial Times (August 9, 2012).

NSA is now cooperating with Australia (receiving information from Australia) in spying on

Indonesia's government and its American law firm as they participate in WTO trade litigation over

ban of menthol cigarette exports to the U.S. and the possible dumping of shrimp imports into the U.S.

This economic espionage is argued as essential to the national interests of the U.S. and not intended

to be in favor of particular U.S. firms and doesn't involve sharing data. Does this sound right? So

now are cigarettes and shrimp matters of national security that allows spying on U.S. law firms as

they engage in WTO trade litigation? "Spying by NSA Ally Entangled U.S. Law Firm." New York

Times (Feb. 17, 2014).

Russia may very well file an action (request consultations) in the WTO over U.S. trade

sanctions. This would be the first time the 'Security Exception' (GATT Article XXI) would

be tested. Hard case to win. But if Russia prevails this would throw the WTO legal system

and the global trading system into complete havoc. "Sanctions Violates WTO Law." DW

(Sept. 20, 2014).

The WTO Director-General recently discussed the Dispute Resolution system. He noted four broad

conclusions: (i) Disputes over 16 years (out of the last 20 years) have involved over $1 trillion of trade

flows; (ii) Dispute mechanisms in Regional Trade Agreements (RTAs) have not been used even though

they could have been, instead the WTO / DSU were used; (iii) There has been a surge in use of the

DSU by member states with the highest number in 2014, a doubling since 2012, and a very high rate

of appeal; (iv) More than 2/3 of the WTO members of utilized the system. "Success of the WTO

Dispute Settlement Brings Urgent Challenges." WTO News (Sept. 26, 2014).

--Research Note –

WTO Map of Disputes. (WTO web page). WTO -- Dispute Settlement. List of all DSU Cases & Summaries. DSB Annual Report. "State of Play" (Addendum to DSB Annual Report) WTO -- NGO Papers Received (WTO). "U.S. Proposals for DSU." (USTR website). Advisory Centre on WTO Law (Lamy 2011).

China - U.S. Litigation in the WTO / DSU.

o Video -- Obama Launches New WTO Trade Action (Chinese Subsidies on Auto Parts) (AP

Video Sept. 17, 2012).

o Video -- Obama (Sept. 2012 WTO Action / Chinese Subsidies on Auto Parts) (Bloomberg

Video Sept. 17, 2012).

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o Video -- Obama (July 2012 WTO Action / Tariffs on U.S. cars) and Interview with Bhagwati

on WTO (CNBC Video July 5, 2012).

o The Director-General of the WTO Lamy is not concerned about the rise of U.S.-China trade

cases in the WTO. He considers increased litigation as a function of greater trade volumes.

Trade friction normally increases as trade volumes increase, and litigation increases with

trade friction. This is a normal process and is dealt with effectively by the WTO's dispute

resolution system. "Lamy Dismisses Rise in U.S. - China Disputes." Financial Times (Oct. 1,

2012).

Note on U.S.-China FDI & Legal Regime

Malawer, "Chinese Corporate Investment & State Economic Development in the

U.S." New York Law Journal (Oct. 2011). (full pdf)

Issue of reciprocity for Chinese investment in the U.S. have arisen because there are

no WTO or bilateral investment treaties setting rules of foreign direct investment.

"Playing Hardball with Chinese Investors." Wall Street Journal (Oct.26, 2012).

(Click Video for video in article for discussion of regulation of trade v. investment

and reciprocity).

Basic Overview of U.S. - China Litigation

Good review of U.S. - China litigation in the WTO. This has become the core of U.S. - China relations

(trade or otherwise). There has been a seminal shift in U.S. trade policy to emphasize continuous

actions to counter perceived Chinese trade restrictions. "At the WTO U.S. Racks Up Wins Against

China." Washington Post (August 9, 2012).

"China's WTO Accession Agreement." (WTO, November 2001).

"U.S.-China Trade Issues." (CRS 2011).

*“China & WTO Compliance” (Executive Summary) (Annual USTR Report 2013).

Lamy, "China Should be More Active in Defining Trade." WTO News (March 24, 2013).

Discussion Questions.

Is the litigation approach becoming too predominant? How is the DSU different from traditional

arbitration? What is the role of diplomatic negotiation in the dispute resolution process? Has the negotiation of new rules by the WTO been surpassed by the dispute resolution system? What has been the history of U.S. trade litigation in the WTO? What has been the experience of Chinese trade litigation in the WTO and especially with the U.S.? Have recent WTO actions been mostly politically driven by domestic considerations in both China

and the U.S.? What are some suggestions to revise the dispute resolution system? What is the significance of the U.S. filing of broad based actions against China in the WTO (2007-

2014) in terms of U.S.-China trade relations? What will be the impact on U.S.-China trade relations generally? What has been China's response? What has been the impact of U.S.-China trade relations in U.S. foreign policy generally? What has been the role of different U.S. business sectors (interest groups and lobbies) on U.S.-

China trade policy? What is the significance of the history of cases filed and the number of appeals?

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What issues do State-Owned Enterprises (SOE) and "non-market economies" pose in subsidy cases?

CLASS V -- WTO Issues / U.S. Trade Remedies & U.S. Agencies.

WTO Litigation -- Subsidies (Online Gambling, Aircraft, Agriculture)

o "E-Gambling" -- DS 285 (AB 2005 / 2013 Retaliation).

o "Tech Industry and Online Gambling." New York Times (Feb. 18, 2013).

o "Airbus" -- DS 316 (U.S. v. EU) (AB 2011).

o "Boeing" -- DS 353 (EU v. US) (AB 2012). o "Sugar" -- DS 266 (Brazil v. EC) (AB 2005). o "Cotton" -- DS 267 (Brazil v. U.S.) (AB 2005 / 2009 Retaliation).

Foreign Perspectives: China, EC, India and Japan..

o Sourcebook (Malawer): Malawer 1040-1203.

Dumping; Subsidies; Safeguards; Retaliation.

o Sourcebook (Malawer): ”Selected Articles -- Malawer 239-246, 251 -260; “GAO Reports (China, Doha

Round).” Malawer 675-683, 739-754.

o "Antidumping, Subsidies and Safeguards." WTO website.

Agreements (Summaries & Edited Text).

Dumping Agreement (Summary).

Dumping Agreement (Edited).

Subsidies Agreement (Summary)

Subsidies Agreement (Edited).

Safeguards Agreement (Summary).

Safeguards Agreement (Edited).

TRIPS Agreement. (Summary).

TRIPS Agreement (Edited).

Agriculture Agreement (Summary).

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Agriculture Agreement (Edited).

Services Agreement (Summary).

Services Agreement (Edited).

Note: * U.S. Trade Agencies.

U.S. International Trade Commission

Dept. of Commerce --- International Trade Administration (Import

Administration)

United States Trade Representative (USTR).

Note: International institutions.

“International Trade Centre (WTO –UNCTAD).”

WIPO: Arbitration & Mediation.

WIPO: Domain Name Disputes.

ITU Introduction (About the ITU).

OECD - Organization.

International Chamber of Commerce (ICC)

Millennium Development Goals (WTO, ITC& UNCTAD).

Updates:

* "Dispute Settlement." WTO Annual Report for 2014.

Discussion Questions.

What is the role of the U.S. International Trade Commission and the International Trade

Administration (ITA) in determining trade remedy cases in the U.S.?

What are the main provisions of the Antidumping Agreement? How is dumping determined?

What are the main provisions of the Subsidies Agreement?

What are the various subsidies?

How are subsidies determined?

What is the "Illustrative List of Export Subsidies"?

Which are the most used?

What does the GATT state as to export restrictions?

What is the importance of "commitments" to the Services Agreement (GATS)? How is this different

from the GATTS?

What are the main provisions of the Safeguard Agreement? When safeguard relief allowed?

What has been the recent use of the above national trade remedy actions globally?

Who initiated the most new a/d cases? countervailing duty cases, safeguard investigations? Who are

the main targets? What has been the U.S. use?

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Have safeguard action decreased? Why? What about A / D and CVD actions?

What is the legality of the proposed U.S. legislation considering currency devaluation in determining

an export subsidy (a "prohibited subsidy")?

U.S. Trade Law: ITC & USTR--Import Relief Actions / Intellectual Property Cases& Market Access ( §301).

Sourcebook (Malawer): Malawer -- 1205 - 1290. Especially -- ”Overview of U.S. Enforcement”

(China Trade, 2006 Trade Policy, 2005 Special 301, 2006 President Report, Subsidies Report,

NETBarriers.)” Malawer: 1079-1097, 1205-1220 (China trade).

General

"Basic Trade Issues and Policy." pp. 14-18 ("Formulation of U.S. Trade Policy") (CRS 2012).

"Chart of WTO Agreements, U.S. Law, U.S. Agency Determinations (AD & CVD) and WTO

Review." (Malawer 2013).

"Two Methods for Private Sector to Attack Foreign Restrictions & Two Methods of Litigation before

the WTO." (Malawer Slide 2013).

Import Relief

Malawer, “Import Relief Legislation, Retaliation & Trade Sanctions,” U.S. Law & Global Trade. (PPt

2014) (Slides # 21 - # 37) (Click here).

Section 301 Slide (Retaliation).

Export Subsidies Slide.

"Trade Remedies: A Primer." 16 - 17 (AD & CVD), 38-42 (summary chart of remedies) (CRS 2007).

“Statutory Provisions Related to Import Relief.” (1998) .

Good legislative summary and source material for all trade laws: "Overview and

Compilation of U.S. Trade Statutes" (2003) (House Ways & Means Committee). For

Section 301 overview read pp. 121-126.

Section 301 -- "Retaliation".

Enforcement by the USTR (USTR web page).

Section 301 of Trade Act of 1974. (Unjustifiable v. Unreasonable) (Mandatory v. Discretionary).

Section 301 -- Code of Federal Regulations.

Agency Websites

International Trade Commission -- Import Remedies (Antidumping/ Subsidies / Global / Special

Safeguards) and intellectual property (§ 337).

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International Trade Administration, U.S. Dept. of Commerce website: Import Administration, Trade

Remedy Compliance, Market Access & Compliance.

Trade Barriers

2013 National Trade Estimate (NTE) & Trade Barriers. 6-11 (by USTR).

2013 Trade Policy Agenda / 2012 Annual Report. 1-20 (by USTR 2013).

Francisco Sanchez, U.S. Undersecretary of Commerce for International Trade in Stuart Malawer's class (2014).

Discussion Questions.

What is the distinction between “fair” and “unfair” trade legislation? What are three major

import relief actions? What U.S. agencies are involved in trade remedy enforcement? What determinations do

they make as to A/D and CVD? What is the significance for trade policy of market access enforcement? Is Section 301 consistent with the U.S. WTO obligations? What is the difference between the

mandatory and discretionary authorities within Section 301? What is the significance of Section 337 actions and how are the possible violation of the

national treatment principle? What is the "mandatory and discretionary (unjustifiable and unreasonable)" aspects of

Section 301 Retaliation? How active are foreign countries in their trade remedy enforcement in their agencies?

CLASS VI -- Team Presentations on the U.S. - China DSU Cases (Export Restrictions, Safeguards, Non-

Market Economies, IPR).

CLASS VII -- Team Presentations on the U.S. - China DSU Cases (Export Restrictions, Services, State-

Owned Enterprises, 'Zeroing').

CLASS VIII -- ..... Mid-Term Exam...…

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CLASS IX -- U.S. Law -- U.S. Constitution & Global Trade Policy.

Malawer, "U.S. Law & Global Trade." (2014) (PowerPoint) (Slides # 47 - # 51, # 53 - 54 --- Congressional

authority, Separation of Powers, Federalism and Int'l Agreements).

Constitution (Edited.)

United States v. Curtis-Wright Export Corp. (S. Ct. 1936). ("Separation of

Powers ... "Delegation of Authority ... Foreign / Domestic Powers.... Role of

Executive ...'One Voice' ").

Youngstown Case (S. Ct. 1952). (Delegation of authority – three-

part approach.)

Youngstown Chart (Legality of Executive Action).

Consumers Union v. Kissinger (DC. Cir. 1974). ("Separation of Powers ....

Congressional Authority .... Delegation of Legislative Power.... Executive

Action ....Voluntary Restraint Arrangements").

Burma Trade Sanctions Case (S. Ct. 2000). ("Federalism ... Implied

Preemption").

Malawer, "State Trade Sanctions." (PowerPoint 2009).

Commercial Diplomacy

"Commercial Diplomacy." U.S. Diplomacy Today (from US Diplomacy

website).

"Business Legacy at the State Dept." Bloomberg Business (Jan. 10, 2013).

Role of States and Cities in Global Trade.

New federal law (The Comprehensive Iran Sanctions Act of 2010) authorizes

states to impose trade sanctions on Iran, in particular, disinvestment

sanctions concerning state pension funds. There is a need for more state

action and coordinated action. "Uniting States Against Iran." Wall Street

Journal (March 9, 2013).

Malawer, "Chinese Corporate Investment & State Economic Development

in the U.S." New York Law Journal (Oct. 2011). (full pdf)

Dr. Li, "State Economic Incentives (U.S. and China)." (2013).

Virginia Economic Development Partnership (International Division).

Stuart Malawer with Virginia Governor Terry McAuliffe (2014)

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Discussion Questions.

What is the principle of federalism and how does it relate to trade policy and the role of

states in global trade?

What is the "principle of preemption"? What is significance of the "Supremacy Clause"

(Article VI) concerning federal law and state law?

What is the doctrine of separation of powers? What is the principle of delegation of

authority?

How do the these concepts relate to the powers of the Congress and the President in the

formulation and conduct of trade relations?

What is Article 1, Section 8, Clause 3 as to the power of Congress?

How are formal treaties and executive agreements different? How are they federal law

(Constitution & precedent)?

What is “fast track authority” or “Trade Promotion Authority”?

What is the dual nature of trade agreements as to international obligations and domestic

law?

What is the role of states in global trade and their status under international trade rules"?

Can states impose trade and financial sanctions impacting global commerce?

What is the notion of commercial diplomacy? How do states engage in this?

Virginia Secretary of Agriculture Todd Haymore addressing Stuart Malawer's class on Virginia's agricultural exports (Spring 2014).

CLASS X: Extraterritoriality #1: Global Antitrust -- Global Antitrust, Cartels & Price-fixing.

Overview of Extraterritoriality.

Malawer, Extraterritoriality of U.S. International Economic Legislation (2014) (PowerPoint).

"Law & National Borders -- Legal Minefields sit on National Borders." Financial Times (5.2.11).

The Supreme Court in Kiobel v. Royal Dutch (2013) declared that the general presumption against

extraterritoriality of U.S. legislation was not overcome (and thus upheld the presumption of

territoriality of U.S. legislation unless Congress says otherwise). "S.Ct. Restricts Alien Tort Statute."

New York Times (April 18, 2013).l.

Total Antitrust Fines (2004 - 2013).

United States and Antitrust.

United States v. Aluminum Co. of America 148 F.2d 416 (2d Cir. 1945) (“The "Alcoa Case").

(Antitrust -- PowerPoint 2014).

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First time a Chinese firm has been held liable in private antitrust litigation. "Chinese Firm & Price-

Fixing in Civil Suit." Wall Street Journal (March 3.14.13).

Link to U.S. Dept. of Justice Antitrust Division (Click here).

" International Advisory Committee."

International Antitrust Documents (International Division).

Foreign Competition Rules.

“Competition Policy & WTO.” (Click here).

Link to International Documents from the Antitrust Division of the U.S. Dept. of Justice. (Click

here).

Links to national antitrust offices worldwide. (Click here).

“International Competition Network. (ICN)”

Database of national competition laws. (Click here).

OECD& Competition. (Click here).

UNCTAD & Competition Policy. (Click here).

EU Competition Commission.

Discussion Questions.

What is the issue of "multijurisdictional world" and "global transactions"?

What U.S. legislation is applied extraterritorilly?

What is extraterritoriality what is the "presumption of territoriality"?

What is the "effects principle"? What is the "reasonableness principle"?

What is the difference between operating through a "branch" as opposed to a "subsidiary"?

What are the facts of the Alcoa Case (1945) and the legal principles it relied upon and established?

What has the OECD and the EU done in the area of restrictive practices and competition rules?

How were these type of issues treated by the ITO ? Havana Charter in 1947? Singapore Conference &

Doha?

ow is competition treated under the WTO agreements?

What is the current status of competition rules within the WTO?

What are other examples of extraterritorial application of U.S. economic legislation?

CLASSES XI: Extraterritoriality #2:

Basket of 6 Trade Areas -- International Investment into the U.S. ( Global Mergers & National Security),

Export / Reexport Controls, Trade Sanctions, Corrupt Practices , Foreign Boycotts & Taxation.

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Foreign Corporate Corruption (FCPA) and Foreign Government Corruption

Corruption Prosecution Chart (2007-2013).

U.S. DOJ bribery crackdown since 2007 has increased significantly but has had a slight decrease last

year (2013). “Global Bribery Crackdown Gains Steam.” Wall Street Journal (March 26, 2014).

US Dept. of Justice & Foreign Corrupt Practices.

"Foreign Anti-Corruption websites." (USDOJ).

Report a FCPA Violation --FCPA.Fraud@usdoj.gov

A new detailed guide to the Foreign Corrupt Practice Act has been released by the Dept. of Justice

and the SEC. A Resource Guide to the U.S. Foreign Corrupt Practices Act (USDOJ and SEC,

November 2012). (PDF)

"Wal-Mart Corruption in Mexico." (CNBC video April 23, 2012).

Malawer, "Corrupt Practices Prosecutions." (April 2012) (chart of cases and summary of law).

"Resource Guide to the FCPA ." (2012).

OECD -- Bribery Convention (1997).

Foreign Bribery (OECD).

OECD -- Guidelines for Multinational Enterprises.

OECD -- Model Tax Convention.

OECD -- Handbook of Corruption and Multinationals (2013).

New U.K. Bribery Law (2010 / 2014).

"New U.K. Bribery Law." Financial Times (2.23.11).

New U.K. Guidance on 2010 Bribery Act (U.K. Ministry of Justice 2011).

Antiboycott Legislation & Foreign Corrupt Practices Act ........ websites

Anti-Boycott Office.

Exports & Reexport Controls -- websites.

Basics of Export Controls. (commercial products) (BIS).

Arms Exports (Dept. of State)

www.Export.gov

Commodity Control List (CCL & ECCN).

Reexport Controls (2008).

Export Enforcement.

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Trade Sanctions & Terrorism -- websites.

o In the last 13 years since 9/11 sanctions for domestic political and foreign policy reasons have

exploded worldwide. “Sanctions: War by Other Means.” Financial Times (March 31, 2014). (Various

maps of sanctions now and over last 10 years.)

o Office of Foreign Asset Control (Treasury) – Trade Sanctions.”

o SEC -- Link of Firms & State Sponsored Terrorism.

o Treasury Sanctions. (List of Sanctions).

o U.S. Dept. of State -- State Sponsor of Terrorism.

o “Economic Sanctions, Reconsidered” (2007) (“Conclusions”).

o Malawer, “Trade Sanctions,” U.S. Law & Global Trade. 38-44, 54 (2014) (PowerPoint) .

Foreign Investment, Mergers & National Security.

Malawer, “Global Mergers & National Security.” Virginia Lawyer (December 2006) (pdf)

· Malawer, "Global Mergers & National Security." #2, #40 - # 50 (2014) (PowerPoint); Global Mergers

Update (2010) (pdf of slides).

"Foreign Investment and National Security." (CRS 2011).

Committee on Foreign Investment into the U.S. (CFIUS) & Exon-Florio.

CFIUS -- Resource Center.

CFIUS -- Resource Center / Reports.

CFIUS Annual Report to Congress 2011 (2012).

o CNBC Video -- Huawei (Oct. 9, 2012).

Note on Foreign Direct Investment -- the U.S., U.N. & Other Countries.

The USTR released the revised 2012 model of the "Bilateral Investment Treaty." This is the first

revision since 2004. "U.S. Concludes Review of Model Bilateral Investment Treaty." USTR News

(April 20, 2012). "Text of Model BIT Agreement." (USTR 2012).

"U.S. Inbound Foreign Direct Investment." (Council of Economic Advisers, June 2011).

Dr. Li, "Chinese Investment into the U.S." (2012).

U.N. Principles for Responsible Investment (PRI) (ESG - environmental, social and corporate

governance issues). Joint project by UNEP Finance Initiative with the U.N. Global Compact. For

private sector entities to adhere to in investment decisions.

Laws of Other Countries Regulating Foreign Investment (GAO 2008).

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Global Tax Issues -- U.S. World wide Taxation System, Tax Deferral, Tax Havens & Transfer-Pricing.

Malawer, Extraterritoriality of U.S. International Economic Legislation (2014) (PowerPoint) (Slide

#10 and # 11).

"Piercing the Secrecy of Offshore Tax Havens." Washington Post (April 6, 2013) (review of massive

data). (Video --Offshore Tax Havens -- Animation).

"Tax Burden Isn't What It Used To Be." Washington Post (March 23, 2013).

"How Firms Tap Overseas Cash." Wall Street Journal (March 29, 2013).

"An Analysis Where American Companies Report Profits." CRS Report (Jan. 18, 2013).

OECD programs (tax havens, model tax convention, taxation of bribery, exchange information and

transfer-pricing guidelines). The OECD views taxation as integral to trade and investment and

impacts economic development and transactional flows. The OECD produces model treaties and

standards to be voluntarily adhere to by states that normally require adoption by states as

international obligations and as national legislation. This involves both creating international

obligations and "harmonizing" national legislation.

The Foreign Account Tax Compliance Act (FATCA), to be implemented in January 2013, applies

U.S. tax rules extraterritorially to global financial companies. It requires the reporting of U.S.

customers' account in excess of $50,000 and failure to do so may impose a 30% withholding tax on

sale of U.S. assets (including U.S. Treasury bonds). "U.S. Demands Tax Tolerance of Foreign

Financial Groups." Financial Times (June 14, 2011). "U.S. Offshore Crackdown Brings Planning

Worries." Financial Times (11.20.12).

Apple is the latest high-tech corporation targeted for its aggressive tax strategies that leave state,

federal and foreign countries with less tax payments than from traditional corporations such as Wal-

Mart. Apple routes its transactions trough no-income tax states such as Nevada as well as low-income

countries globally. This is made more possible because of the digital nature of its products and

intangible income (such as license fees). The impact is not only on the U.S. and other countries but on

cash-strapped states facing budget stress. "How Apple Sidesteps Billions in Taxes." New York Times

(April 29, 2012).

The Financial Times Series entitled "Global Tax" discusses the building global resentment over

billions of dollars of tax avoidance by multinational corporations in the context of national austerity

policies. The FT discusses the building demand for global reform of international business taxation.

This demand is spurred on by various countries, the G-20 and the OECD. The OECD has termed the

current situation a "race to the bottom." But countries are now on the defensive in granting tax

breaks to the multinationals. "Nations on Defensive as Anger Grows Over Tax Avoidance."

Financial Times (April 29, 2013). This series includes a good global interactive map of corporate tax

rates and % of GDP

CNBC Video -- EU Carbon Tax (Climate Tax) & Global Trade War (CNBC March 22, 2012).

Barclays Tax Avoidance - Video (Feb. 28, 2012). (Issue of corporate reputation and image.)

U.K. and Multinationals -- Video. (Feb. 2012). (As to branches and role of MNCs and international

response.)

Discussion Questions.

What are some of the issue concerning multinational corporations and U.S. taxation?

How has the Corrupt Practices legislation been "globalized" by the OECD?

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Why has the Dept. of Justice been so active in prosecuting global price-fixing cases, violations of the Foreign

Corrupt Practices Act, and other money laundering cases?

Why is corporate and government corruption bad for economic development?

Why are trade sanctions, export controls / reexport controls and boycott legislation applied

extraterritorially? What is the impact on U.S. competitiveness?

What is the issue of concerning U.S. worldwide taxation principle and trade involving U.S. firms and

multinationals? What is the issue of transfer-pricing?

Why are "private trade actions" by corporations now viewed as important as "government trade restrictions"

that ought to be regulated by global trade rules under the WTO?

Why are cross-border mergers increasing? Why have companies from India, China and the UAE becoming so

active?

What is the relation of cross-border mergers to foreign direct investment?

What has been the reaction of the U.S. and other countries concerning national security and restricting

foreign takeovers and foreign investment? What about Chinese companies? What have been recent U.S.

actions concerning this?

What is the impact of growing commodity and natural resource competition worldwide on global mergers and

transactions?

CLASS XII --- Individual Presentations of Executive Summaries (Policy Essays I -- "U.S. Trade Issues --

Extraterritoriality of U.S. Economic Regulation").

CLASS XIII --- Individual Presentations of Executive Summaries (Policy Essays II -- "U.S. Trade Issues --

Extraterritoriality of U.S. Economic Regulation").

CLASS XIV: Cyber Espionage / Obama's Trade Agenda / 'Rules of the Road.'

Economic Cyber Espionage.

Report -- Administration on Mitigating the Theft of U.S. Trade Secrets. (U.S. Gov't, Feb. 2013). There is a

global cyber-espionage campaign threatening the U.S. economic competitiveness, a new National Intelligence

Estimate states.

Speech by Tom Donilon, "The U.S. and Asia." (Cyber espionage, trade and national security) (White House

March 11, 2013).

"U.S. - China Focus on Cybersecurity." New York Times (April 23, 2013) (sudden tensions and need for

global standards).

*Video -- China Cyberespionage and U.S. (Feb. 17, 2013).

* Good statement that U.S. national security interests (NSA spying) needs to be balanced by global

commercial interests of the U.S. especially the freedom of the Internet and competitiveness of U.S.

Internet firms. "The NSA and the Internet." Financial Times (Nov. 6, 2013).

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Gen. Mike Hayden (former Director NSA / CIA) discussing cyber commercial espionage in Stuart Malawer's class (2014).

Obama Trade Policy / Export Policy.

*Obama's trade agenda is in deep trouble. Seems that a bipartisan coalition is growing against it and

against extending "Fast Track" (TPA). This is jeopardizing TPP and TTIP negotiations. Interesting

comments on the role of the Congress and President in trade relations. "Obama's Trade Jeopardy."

Wall Street Journal (Nov. 19, 2013).

2014 Trade Policy Agenda and 2013 Trade Policy Report (USTR 2013). (Pages - 1 - 8).

President Obama calls for reorganization of trade agencies, review of international corporate

taxation, and general promotion of trade and commercial diplomacy. Obama, "Globalization,

Exports & Trade." White House Video. (Speech at the U.S. Chamber of Commerce, Feb. 7, 2011).

(Outline).

"President Obama Proposes Reorganizing Trade Agencies." Wall Street Journal (Jan. 13, 2012).

President Obama -- Video on Export & Trade Promotion ("National Export Initiative') (March

2010). This frames the globalization and trade debate and export promotion as the principal trade

policy initiative by the Obama administration. He proposes "advocacy & enforcement." He

discusses trade policy generally -- trade enforcement, bilateral trade agreements, intellectual

property rights, G20, "rebalancing global demand" and exchange rates, reforming export controls

on technology for increased competitiveness, and promoting the benefits of trade for the U.S.

economy.

President Obama's 2013 Inaugural Speech (Jan. 21,2013)(discussing engagement, multilateral

institutions and "Rights, Mutual Obligations and Values." A good discussion of various proposals

concerning a new trade and economic agenda for the Obama administration by a former Republican

trade and finance official. It focuses on NAFTA, the WTO, the IMF, and emerging markets. He

concludes "International economic strategy is the new foreign policy." "A New U.S. International

Economic Strategy." Wall Street Journal (2.6.13).

*New Dept. of Commerce first-ever conference on foreign investment in the U.S. (Obama

Presentation Video 10.31.13). FDI or inward investment in the U.S. has been halved since 2008. In

2000 the U.S. received 37% of worldwide inward investment by 2012 the U.S. received only 17%.

"U.S. Courts Foreign Investment for Economic Development." Financial Times (Oct. 31, 2013).

Good discussion of Obama's trade policy as of late 2013. There is a need to advance the 21st-century

trade agenda by dismantling America's 19th century era protections." "Obama Cannot Lead from

Behind on Trade." Financial Times (12.9.13).

"Leading From the Front on Free Trade." Wall Street Journal (January 15, 2014).

Malawer, "Fast Track Authority and President Obama." Richmond Times-Dispatch (Feb 16, 2014).

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Good outline of Obama trade policy by the USTR Froman. "A Values-Driven Trade Policy." USTR

News (Feb. 18, 2014).

Stiglitz, "On the Wrong Side of Globalization." New York Times (March 17, 2014).

Interesting editorial by the New York Times on President Obama's trade negotiations concerning

TTP and TTIP. “This Time, Get Global Trade Right.” New York Times (April 20, 2014).

Discussion Questions.

What about President Clinton's trade legacies?

What about President Obama's trade challenges?

What are President Obama's export trade initiatives and trade reorganization proposals?

What are President Obama's focus on mutual responsibilities and following the rules of the road?

What about renewing fast-track authority?

What has been President Obama's focus on an enforcement-centered trade policy? What actions has

he taken concerning China trade?

How successful has Obama been in managing China-U.S. trade relations and Chinese investment into

the U.S.?

How significant is President Obama's new export policies in actually increasing exports and

proposals for increasing direct investment into the U.S.?

What trade measures can be used to counter economic cyberespionage? What has been the impact of

the NSA disclosures on the TPP and TTIP negotiations?

.......... Global Trade Rules, National Security & Future Development ..........

The New Global Economy & Global Markets. Commanding Heights -- "While not sufficient trade is necessary

for peace." -- President Clinton. "Clinton, Bush & 9/11." Commanding

Heights (PBS website). (Outline). (Video). Last 18 minutes of the video at

"Global Divide."

"Global Governance 2025 -- A Critical Juncture." pp. iii-vi, 1-6 (National Intelligence Council & ISS,

Nov. 2010). (Executive Summary).

The National Intelligence concludes that that future geopolitical "strategic rivalries are most likely to

revolve around trade, investments, and technological innovation and acquisition." That this new

transnational agenda will demand far greater multilateral cooperation. Global Trends 2025 -- A

Transformed World (National Intelligence Council, November 2008). (Executive Summary).

"[T]hat globalization will work for everyone only if all countries abide by the same set of rules,

hammered out and enforced by some form of technocratic global government. The reality is,

however, that most countries are unwilling to give up their sovereignty ...." Pearlstein, "Free Trade

in the Real World." Washington Post (March 13, 2011).

Good review of the movement away from military issues to trade issues as the principal dimension of

power in international relations today. It reviews three ongoing trade negotiations (TPP, TTIP, EU-

China), in light of current failure of Doha, as moving away from multilateralism. (But pending

agreements in the forthcoming Bali Ministerial may lessen this conclusion a bit.) It also discusses

services negotiation and investment agreements along with negotiations over climate and millennium

development goals. It highlights that China has been a big winner from the global economy and is

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sometimes viewed as a free-rider. It concludes "Globalization without global rules may work for a while

but it will not last." "From Missiles to Trade -- From Geopolitics to Geoeconomics." Financial Times

(Nov. 22, 2013).

The former Director-General of the WTO Pascal Lamy declared that it's the U.S. Congress and

France that often oppose the opening of trade. He also argued that the WTO needs to address the

newer trade issues of competition, investment and regulatory standards. He considers regulatory

standards to be a newer barrier to trade today. "WTO Ex-Head Hits at Trade." Financial Times

(Nov. 26, 2013). Good discussion of the forthcoming Bali Ministerial as being a test for writing new

rules of international commerce in a more inclusive manner. "WTO: Up in the Air." Financial Times

(December 3, 2013).

Discussion Questions.

What are the relationships and tensions between national security and trade relations?

What are the continuing implications of the global financial and economic crisis on

trade relations?

What are these implications on global governance and the emergence of a new global

architecture for global and transnational economic relations?

Why do proponents of refining the financial system want to get investment into the

WTO?

How has the WTO rules-based system restricted new protectionist measures during the

global financial crisis?

What policies should the U.S. and the WTO pursue to ensure further a rule-based

system and greater global governance? In terms of negotiations and litigation?

What are the needed changes to the rules of trade to ensure that globalization does not

give way to global terrorism or globalization in reverse?

.....................................................................................................

--- Presentation # 1 (WTO Cases -- U.S. and China) -- Team Assignments ---

The establishment and development of the dispute system has been historical. The Dispute Resolution

System has considered and decided a range of cases. They have often raised the issue of implementation and

sanctions. This assignment assesses the most recent U.S. - China litigation in the WTO / DSU. Please select

one case.

** Please include the following in your presentation:

The history and context of the case.

The main WTO issue.

o The contested issue of U.S. or foreign law or practice involved.

o The specific WTO agreement and specific provisions involved. (Name the

agreement, identify the provisions and quote or paraphrase it.)

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o Remember -- The basic issue is the consistency of the contested national act with

WTO obligations. Are they consistent or are they inconsistent?

The position of the main parties.

The decisions of the panel and / or the AB.

What has happened concerning implementation and sanctions if any.

Your proposal for resolving the trade issues or if it is already decided your observations

concerning the dispute in the context of the global trading system.

o Please identify the various national and international interests involved.

[For pending cases you will need to adjust the above. Please discuss the context / background of the

dispute, the main issues, the major provisions of the WTO agreement(s) involved, the positions of the

parties, where the dispute stands currently, your proposals for resolving it, and the implications for

the global trading system.]

The following are useful starting points in your research:

*USTR -- Monitoring & Enforcement.

*WTO -- Dispute Settlement,

*[List of all DSU Cases & Summaries.]

*WTO Dispute Settlement: Case Summaries (WTO 2008).

"Snapshot of Cases Involving the United States." (Updated by USTR 2012).

“Summary of Settled Cases Involving the U.S. (yearly 2012) (USTR).”

"Update of WTO Dispute Settlement Cases" (Updated by the WTO Secretariat

periodically).

WTO -- NGO Papers Received.

Note -- You may want to look at the material in the Sourcebook (Malawer) under Decisions (pp 443 - 674) for

a general review of the WTO litigation system and under the Edited Cases (pp. 788-892) for a compilation of

various cases decided between 1995 - 2007. An examination of GAO & CRS Report (pp. 674 - 788) as well as

USTR News Releases (pp. 892 - 1040) is very informative. An examination of foreign perspective (pp. 1040

1205) should likewise prove useful.

The team PowerPoint presentation should be 20 - 25 slides. Speaker notes should be attached to the

presentation. (The speaker notes are optional in order to explain difficult points. They may provide

information that is not actually relied upon in the oral presentation.) The oral presentation is scheduled for

20-30 minutes (including questions and answers). The presentations will be given in the order of the team

numbers. (Teams 1-4 will be on the first scheduled night and the remaining will be on the second scheduled

night.) A hardcopy of the presentation is to be submitted to the instructor. The presentation should be e-

mailed to the instructor prior to the presentation. Please have only two slides per page. Hard copies of the

presentation (without the speaker's notes) should be given to each student. Good Luck ...............

.....................................................................................................

--- PROJECT # 2 (Extraterritorial Economic Regulation) -- Individual Essay ---

The U.S. regulates global trade relations through a large number of laws that impact transnational

transactions. This economic legislation has extraterritorial impact on transactions and actors outside of the

U.S. Please select one piece of such legislation and assess it in the context of a particular policy problem. The

goal of the essay is to propose a policy suggestion in terms of the specific legislation reviewed.

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** Please include the following in your essay:

Overview.

o Provide an overview of the trade issue and identify the specific legislation that governs it.

Legislation.

o Review the history of the statute. Specifically identifying the issues and parties involved

(the different interest groups and their positions).

o Provide a summary of the key provisions of the governing statute.

Major Problems.

o In light of actual experience identify major problems that have evolved under the statute.

One Issue.

o Select one particular problem. [This is the heart of your presentation.]

o Why is it a problem? What are the issues involved?

Policy Proposal.

o Develop and suggest a policy proposal concerning the issue you are discussing. Indicate the

impact of your proposal on both U.S. trade policy and the trading system.[This is the value-

added aspect of your efforts to the current discussion.]

This essay is 15-20 pages and an executive summary of one page shall also be submitted

………………………………………………

Policy on Plagiarism

The profession of scholarship and the intellectual life of a university as well as the field of public policy

inquiry depend fundamentally on a foundation of trust. Thus any act of plagiarism strikes at the heart of the

meaning of the university and the purpose of the School of Policy, Government, and International Affairs. It

constitutes a serious breach of professional ethics and it is unacceptable.

Plagiarism is the use of another’s words or ideas presented as one’s own. It includes, among other things, the

use of specific words, ideas, or frameworks that are the product of another’s work. Honesty and

thoroughness in citing sources is essential to professional accountability and personal responsibility.

Appropriate citation is necessary so that arguments, evidence, and claims can be critically examined.

Plagiarism is wrong because of the injustice it does to the person whose ideas are stolen. But it is also wrong

because it constitutes lying to one’s professional colleagues. From a prudential perspective, it is shortsighted

and self-defeating, and it can ruin a professional career.

The faculty of the School of Policy, Government, and International Affairs takes plagiarism seriously and has

adopted a zero tolerance policy. Any plagiarized assignment will receive an automatic grade of “F.” This

may lead to failure for the course, resulting in dismissal from the University. This dismissal will be noted on

the student’s transcript. For foreign students who are on a university-sponsored visa (eg. F-1, J-1 or J-2),

dismissal also results in the revocation of their visa.

To help enforce the SPGIA policy on plagiarism, all written work submitted in partial fulfillment of course or

degree requirements must be available in electronic form so that it can be compared with electronic

databases, as well as submitted to commercial services to which the School subscribes. Faculty may at any

time submit student’s work without prior permission from the student. Individual instructors may require

that written work be submitted in electronic as well as printed form. The SPGIA policy on plagiarism is

supplementary to the George Mason University Honor Code; it is not intended to replace it or substitute for

it. (http://www.gmu.edu/facstaff/handbook/aD.html)

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……………………………………..

DISABILITIES

If you are a student with a disability and you need academic accommodations, please see me and contact the

Office of Disability Services (ODS) at 993-2474. All academic accommodations must be arranged through the

ODS.

……………………………………..

LEARNING OUTCOMES

• Understanding.

o To understand the development and operation of a rules-based international trading system.

o To understand the rule-making process (negotiations and trade rounds) of the World Trade

Organization.

o To understand the adjudication process and diplomatic process (consultation) as to the

application and enforcement of global rules to specific disputes of the World Trade

Organization (Dispute Resolution System).

o To understand the participation of the United States in the global trading system and global

trade governance.

o To understand the impact of the basic constitutional parameters of the United States in its

participation in the global trading system.

o To understand basic U.S. cases and economic legislation governing U.S. participation in the

global trading system.

o To understand the dual nature of international trade agreements as creating domestic and

international obligations.

• Skills.

o How to research case decisions of the WTO.

o How to analyze case decisions of the Dispute Resolution System.

o How to determine the implementation of the WTO decisions (Dispute Settlement Body) in

terms of trade sanctions and corrective state compliance.

o How to research U.S. cases and trade legislation (congressional committees).

o How to research and assess U.S. executive enforcement actions in global trade (USTR, USITC

and ITA).

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• Assessment.

o To analyze and to interpret global trade issues from the perspective of the United States and

the World Trade Organization in a sensible and realistic perspective focusing on law,

politics and business.

o To understand the basic legal, political and institutional aspects of global trade relations and

governance and to discuss them in a competent manner.

o To propose realistic domestic and international public policy responses to global trade issues.

……………………………………..