ABSTRACT

This chapter focuses on the purposes international organizations serve for policymakers at home. It concentrates on the less studied side of two-level games analysis, thereby developing a domestic logic for membership in international institutions. The chapter centers on the dispute-settlement procedures that appear in the North American Free Trade Agreement but date initially to the 1988 Canadian-US. Free Trade Agreement (FTA). In terms of redress from unfair trade laws, the FTA provided Canada with some protections against tariffs in cases in which it was the tertiary supplier. The inclusion of representatives of Canada can be assumed to move the preferences of the new veto player in the direction of the reversion point. If the veto player moves toward openness, the optimal proposal point moves to the right. A review of US trade policy shows two dimensions on which US trade laws vary: the intent of the exporter and presidential autonomy.