Addressing government failure through international financial law

Journal of International Economic Law

Volumn 13, Issue 3, 2010, Pages 743-761

  Charnovitz, Steve ^a  

^a GEORGE WASHINGTON UNIVERSITY   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 78649919611     PISSN: 13693034     EISSN: 14643758     Source Type: Journal    
DOI: 10.1093/jiel/jgq024     Document Type: Article

References (80)

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2. See generally Benn Steil and Manuel Hinds, Money, Markets and Sovereignty (New Haven: Yale University Press, 2009) ch 2.
3. Eugene Staley, World Economy in Transition (New York: Council on Foreign Relations, 1939) 300.
4. International Monetary Fund, 'World Economic Outlook', April 2010, 155, 170.
5. ILO, 'Global Employment Trends', January 2010, 47.
6. John H. Jackson, Sovereignty, the WTO, and Changing Fundamentals of International Law (Cambridge: Cambridge University Press, 2006) 221.
7. See Brummer, in this issue at 623-643.
8. Thomas Cottier, 'Challenges Ahead in International Economic Law', 12 Journal of International Economic Law 3 (2009), at 7-8.
9. Constitution of the ILO, Preamble.
10. IMF Articles of Agreement, Article 1.
11. See Baltensberger and Cottier, in this issue at 911-937.
12. Marcus Walker and Stephen Fidler, 'IMF Chief Urges Coordinated Finance Rules', Wall Street Journal, 30-31 January 2010, A11.
13. Speech of Director-General Lamy, 'The Global Trading System and the World Economy', Seoul, 7 December 2009, http://www.wto.org/english/news-e/sppl-e/ sppl144-e.htm (visited 12 September 2010).
14. See Allan H. Meltzer, 'Market Failure or Government Failure?', Wall Street Journal, 19 March 2010, A19.
15. st Century Central Bankers: Differences between Investment and Depositary Banking', in Mario Giovanoli and Diego Devos (eds), International Monetary and Financial Law: The Global Crisis (Oxford: Oxford University Press, 2010) 217-33.
16. See Hufbauer and Xie, in this issue at 939-953.
17. See Nick Timiraos, 'Why Hasn't Canada's Housing Market Blown Up?', Wall Street Journal, 7 December 2009.
18. Robert G. Wilmers, 'What About Fan and Fred Reform?', Wall Street Journal, 4 May 2010.
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22. H. R. 4173, Public L. 111-203, http://financialservices.house.gov/Key- Issues/Financial-Regulatory-Reform/Final-conference-titles/T1-FINAL.pdf (visited 26 June 2010).
23. John B. Taylor, 'The Dodd-Frank Financial Fiasco', Wall Street Journal, 1 July 2010, A19.
24. Henry M. Paulson, Jr., On the Brink: Inside the Race to Stop the Collapse of the Global Financial System (New York: Business Plus, 2010) 364-66.
25. James R. Hagerty and Ruth Simon, 'For Financial Engineers, A New Risk: Washington', Wall Street Journal, 2 February 2010, C1;
26. Michael R. Crittenden, 'Treasury Makes Banks Pay a TARP Premium', Wall Street Journal, 20 January 2010, C3.
27. Remarks by the President on Wall Street Reform, 25 June 2010, http://www.whitehouse.gov/the-press-office/remarks-president-wall-street-reform- 1 (visited 26 June 2010).
28. Title I, Section 112 (A) of the Dodd-Frank Act.
29. Title I, Section 112 (B) of the Dodd-Frank Act.
30. -5 U. S. C. Appendix, Public L. 92-463, Aproved 6 October 1972 (86 Stat. 770).
31. See Lastra and Wood, in this issue at 531-550.
32. Earle B. Hammond Jr., 'Risk? Let Congress Look in a Mirror', Wall Street Journal, 9 December 2009, A26.
33. See Robert E. Litan, 'Economics: Global Finance', in P. J. Simmons and Chantal de Jonge Oudraat (eds), Managing Global Issues: Lessons Learned (Washington: Carnegie Endowment, 2001) 196-233 at 226 ('Hence one challenge that should be uppermost in the minds of financial policy makers is to find ways of harnessing the forces of the market to help ensure the stability of the financial system.... I believe that a superior approach to incorporating the views of the market into capital standards would rely explicitly on the judgments of the market itself').
34. See Peter G. Peterson, Running on Empty (New York: Farrar, Straus, and Giroux, 2004);
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39. Car Allowance Rebate System program, http://www.cars.gov (visited 27 September 2010).
40. WTO Appellate Body Report, United States - Measures Relating to Zeroing and Sunset Reviews - Recourse to Article 21.5 of the DSU by Japan, WT/DS322/AB/RW, adopted 31 August 2009;
41. WTO Appellate Body Report, United States - Laws, Regulations and Methodology for Calculating Dumping Margins ("Zeroing") - Recourse to Article 21.5 of the DSU by the European Communities, WT/DS294/AB/RW, 11 June 2009.
42. Decision by the Arbitrator, United States Subsidies on Upland Cotton - Recourse to Arbitration by the United States under Article 22.6 of the DSU and Article 4.11 of the SCM Agreement, WTO Doc WT/DS267/ARB1, 09-4009;
43. Decision by the Arbitrator, United States - Subsidies on Upland Cotton - Recourse to Arbitration by the United States under Article 22.6 of the DSU and Article 7.10 of the SCM Agreement, WTO Doc WT/DS267/ARB2, 09-4015, 31 August 2009.
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46. See Faizel Ismail, Reforming the World Trade Organization: Developing Countries in the Doha Round (Jaipur: CUTS, 2009) 120-21, 154.
47. A recent study by Global Trade Alert lists the buy-national provision in the US stimulus package as being the second largest of 22 jumbo protectionist measures enacted since November 2008.
48. th GTA Report, http://www.globaltradealert.org/sites/default/files/GTA6.pdf (visited 27 June 2010) 49-58 at 55.
49. Public L. 115-5, approved 17 February 2009.
50. Section 1605, http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname= 111-cong-bill&sdo cid=f:h1enr.pdf (visited 27 June 2010).
51. For example, see Jagdish Bhagwati, 'Defending an Open World Economy', in Terry L. Anderson and Richard Sousa (eds), Reacting to the Spending Spree: Policy Changes We Can Afford (Stanford: Hoover Institution Press, 2009) 139-47, at 141-44.
52. See Joseph Francois, 'Subsidies and Countervailing Measures: Determining the Benefit of Subsidies', in Kyle W. Bagwell, George A. Bermann and Petros C. Mavroidis (eds), Law and Economics of Contingent Protection in International Trade (Cambridge: Cambridge University Press, 2010) 103-115.
53. Jay L. Eizenstat, "'Buy America": A Regrettable Step Toward Protectionism', BNA International Trade Reporter, 9 July 2009, 938.
54. John Maynard Keynes, Letter to Franklin D. Roosevelt, 1 February 1938. As quoted in Amity Shlaes, 'How to Make a Weak Economy Worse', Wall Street Journal, 2 February 2010, A19.
55. Speech of Director-General Lamy, 'Toward Shared Responsibility and Greater Coherence: Human Rights, Trade and Macroeconomic Policy', Geneva, 13 January 2010, http://www.wto.org/english/news-e/sppl-e/sppl146-e.htm (visited 17 September 2010).
56. In an earlier speech, Lamy had declared: 'The WTO encourages, and will continue to encourage, its members to abide by international norms'. Speech of Director-General Lamy, 'Global Problems, Global Solutions: Towards Better Global Governance', WTO Public Forum, Geneva, 28 September 2009, http://www.wto.org/ english/news-e/sppl-e/sppl136-e.htm (visited 17 September 2010).
57. It is sometimes suggested that the Agreement on Trade-Related Aspects of Intellectual Property Rights (TRIPS) is an exceptional WTO agreement in addressing market failure because it mandates that governments protect intellectual property (IP) rights. Although TRIPS does not require that a government give IP rights to its nationals (see TRIPS Agreement, Article 1.1), TRIPS does require the provision of IP rights to foreign nationals. One can look at this as a response to transborder market failure or as a response to a government failure of economic nationalism.
58. See Cottier and Krajewski in this volume, for a discussion of the deregulatory approach of General Agreement on Trade in Services (GATS).
59. For example, see GATS, Article VI; General Agreement on Tariffs and Trade (GATT), Articles XVIII, XXVIII bis (3), XXXVI:1 (e), XXXVII:3, XXXVIII:2; Agreement on Technical Barriers to Trade (TBT Agreement), Articles 2.4, 12.6.
60. Disciplines on Domestic Regulation in the Accountancy Sector, S/L/64, 14 December 1998.
61. G8 Muskoka Declaration, Muskoka, 25-26 June 2010, http://www.whitehouse. gov/sites/default/files/g8-muskoka-declaration.pdf (visited 27 June 2010).
62. G8 Muskoka Declaration, Muskoka, 25-26 June 2010, http://www.whitehouse. gov/sites/default/files/g8-muskoka-declaration.pdf (visited 27 June 2010). para 1.
63. G8 Muskoka Declaration, Muskoka, 25-26 June 2010, http://www.whitehouse. gov/sites/default/files/g8-muskoka-declaration.pdf (visited 27 June 2010). para 8.
64. G8 Muskoka Declaration, Muskoka, 25-26 June 2010, http://www.whitehouse. gov/sites/default/files/g8-muskoka-declaration.pdf (visited 27 June 2010). para 26.
65. Evenett and Fritz, above n 43, at 55-57.
66. G-20, 'Toronto Summit Declaration', Toronto, 26-27 June 2010, http://g20.gc.ca/toronto-summit/summit-documents/the-g-20-toronto-summit- declaration/(visited 28 June 2010). The Declaration characterizes the G-20 as the 'premier forum' for international economic cooperation (para 1).
67. G-20, 'Toronto Summit Declaration', Toronto, 26-27 June 2010, http://g20.gc.ca/toronto-summit/summit-documents/the-g-20-toronto-summit- declaration/(visited 28 June 2010). The Declaration characterizes the G-20 as the 'premier forum' for international economic cooperation (para 1). Annex II, para 5.
68. G-20, 'Toronto Summit Declaration', Toronto, 26-27 June 2010, http://g20.gc.ca/toronto-summit/summit-documents/the-g-20-toronto-summit- declaration/(visited 28 June 2010). The Declaration characterizes the G-20 as the 'premier forum' for international economic cooperation (para 1). para 21.
69. G-20, 'Toronto Summit Declaration', Toronto, 26-27 June 2010, http://g20.gc.ca/toronto-summit/summit-documents/the-g-20-toronto-summit- declaration/(visited 28 June 2010). The Declaration characterizes the G-20 as the 'premier forum' for international economic cooperation (para 1). para 16.
70. G-20 Business Summit, 'Chairman's Summary', 26 June 2010, http://www.ceocouncil. ca/publications/pdf/test- b02eacab85823e18b154cc630e0bf3d0/G20-Business-Summit-June-2526-Chairman-s- Summary.pdf (visited 27 June 2010).
71. G-20 Business Summit, 'Chairman's Summary', 26 June 2010, http://www.ceocouncil. ca/publications/pdf/test- b02eacab85823e18b154cc630e0bf3d0/G20-Business-Summit-June-2526-Chairman-s- Summary.pdf (visited 27 June 2010). at 1.
72. International Trade Union Confederation, 'Take Action on Jobs to Sustain the Recovery, Global Unions' Statement to the G8/G20 Summits', June 2010, http://www.ituc-csi.org/IMG/pdf/Final-Trade-Union-Statement-to-G20-Toronto.pdf (visited 27 June 2010).
73. Cottier, above n 8, at 12.
74. Thomas Butterworth, 'The Openness Elixir', Wall Street Journal, 19-20 June 2010, W8.
75. See Weber, in this issue at 683-704.
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77. See Brummer, in this issue at 623-643.
78. Gerald P. O'Driscoll Jr. 'The Gulf Spill, the Financial Crisis and Government Failure', Wall Street Journal, 14 June 2010, A17.
79. Daniel C. Esty, 'Good Governance at the Supranational Scale: Globalizing Administrative Law', 115 Yale Law Journal 1490 (2006), at 1520.
80. A/Res/63/303, 13 July 2009, para 56.