Hühne, Philipp Meyer, Birgit Nunnenkamp, Peter Roy, Martin
Year of Publication:
Kiel Working Paper 2004
Estimating two-step selection models, we find that more democratic governments are more likely to conclude preferential trade agreements (PTAs) and to agree to stricter investment provisions related to pre-establishment national treatment and investor-state dispute settlement in PTAs. This is surprising when considering the potentially high costs of litigation.
preferential trade agreements (PTA) investor-state dispute settlement national treatment democracy