All of the following is true of the General Agreement on Tariffs and Trade except:
A) it includes over 100 nations.
B) it reduces tariffs, subsidies, and import quotas.
C) it has extensive authority to enforce trade practices due to its voluntary membership.
D) it is one of the longest-lasting agreements on trade.

Question

All of the following is true of the General Agreement on Tariffs and Trade except: 
A) it includes over 100 nations.
B) it reduces tariffs, subsidies, and import quotas.
C) it has extensive authority to enforce trade practices due to its voluntary membership.
D) it is one of the longest-lasting agreements on trade.

Quizplus · Accepted Answer

The General Agreement on Tariffs and Trade (GATT) does not have extensive authority to enforce trade practices, as its membership is voluntary and it relies on negotiation and consultation between member nations. Enforcement of trade practices is handled by the World Trade Organization (WTO), which was established in 1995 to replace GATT as the primary mechanism for international trade negotiations and dispute resolution. The other statements are true of GATT.

All of the Following Is True of the General Agreement