The World Trade Organization (WTO) is a supranational intergovernmental organization that regulates and facilitates international trade between participating countries. It provides a framework for negotiating and formalizing trade agreements, and a dispute resolution process aimed at enforcing participants’ adherence to those agreements. As a concept relevant to AP Human Geography, it highlights how international economic relationships shape global interactions and influence the spatial distribution of economic activities.
The importance of this organization lies in its role in promoting free trade, reducing trade barriers, and fostering economic growth. Its agreements aim to create a more predictable and transparent trading environment, which can benefit both developed and developing nations. Historically, the establishment of the WTO, succeeding the General Agreement on Tariffs and Trade (GATT), marked a significant step toward greater global economic integration, influencing patterns of production, consumption, and migration across the globe.