Hoekman, BernardMattoo, Aaditya2012-03-192012-03-192011-01-01https://hdl.handle.net/10986/3290Trade and investment in services are inhibited by a range of policy restrictions, but the best offers so far in the Doha negotiations are on average twice as restrictive as actual policy. They will generate no additional market opening. Regulatory concerns help explain the limited progress. This paper develops two proposals to enhance the prospects for both liberalization of services trade and regulatory reform. The first is for governments to create mechanisms ("services knowledge platforms") to bring together regulators, trade officials, and stakeholders to discuss services regulatory reform. Such mechanisms could identify reform priorities and opportunities for utilization of "aid for trade" resources, thereby putting in place the preconditions for future market opening. The second proposal is for a new approach to negotiations in the World Trade Organization, with a critical mass of countries that account for the bulk of services production agreeing to lock-in applied levels of protection and pre-committing to reform of policies affecting foreign direct investment and international movement for individual service providers -- two areas where current policy is most restrictive and potential benefits from liberalization are greatest. If these proposals cannot be fully implemented in the Doha time frame, then any Doha agreement could at least lay the basis for a forward-looking program of international cooperation along the proposed lines.CC BY 3.0 IGOABUSEACCOUNTINGADVERSE CONSEQUENCESAGRICULTUREASYMMETRIC INFORMATIONAUDITSBEST PRACTICEBRAIN DRAINBUSINESS ASSOCIATIONSBUSINESS PROCESS OUTSOURCINGCAPITAL ADEQUACYCDCIRCULAR FLOWCOMMERCIAL PRESENCECOMPARATIVE ADVANTAGECOMPETITION FRAMEWORKCOMPETITION LAWCOMPETITION POLICIESCOMPETITIVENESSCOMPLETE LIBERALIZATIONCONFIDENCECONSULTING SERVICESCONSUMERSCRITICAL MASSCROSS BORDER TRADECURRENT ACCOUNT SURPLUSESDAMAGESDEVELOPING COUNTRIESDEVELOPING COUNTRYDEVELOPING ECONOMIESDEVELOPMENT ASSISTANCEDEVELOPMENT POLICYDIRECT INVESTMENTDISCRETIONDISTRIBUTION NETWORKSDISTRIBUTION SERVICESDOHA DEVELOPMENT AGENDADOMESTIC FIRMSDOMESTIC REFORMDOMESTIC REGULATIONECONOMIC LAWECONOMIC ORDEREFFECTIVE REGULATIONEMERGING MARKETSENERGY SERVICESENTRY BARRIERSEXCHANGE RATEEXPORT MARKETSEXPORTSEXTERNALITIESFINANCIAL CRISISFINANCIAL MARKETSFINANCIAL SERVICESFOREIGN BANKSFOREIGN COMPETITIONFOREIGN DIRECT INVESTMENTFOREIGN ENTRYFOREIGN FIRMSFOREIGN MARKETSFOREIGN PROVIDERSFOREIGN SERVICE PROVIDERSFOREIGN SERVICESFOREIGN SUPPLIERSFOREIGN TRADEGATSGDPGDP PER CAPITAGLOBAL GOVERNANCEGLOBAL TRADEGOVERNMENT EXPENDITURESGOVERNMENT OFFICIALSHOME COUNTRYHUMAN CAPITALINCOMEINDUSTRIAL COUNTRIESINDUSTRIAL COUNTRYINFORMATION SYSTEMSINFORMATION TECHNOLOGIESINFRASTRUCTURE INVESTMENTSINITIATIVEINNOVATIONSINSURANCEINSURANCE COMPANIESINTERNATIONAL COMPETITIONINTERNATIONAL COOPERATIONINTERNATIONAL TRADEINTERNATIONAL TRADE IN SERVICESINTERNATIONAL TRANSPORTKEY INDUSTRIESKNOWLEDGE ECONOMYKNOWLEDGE RESOURCESLAWYERSLEARNINGLEGAL SYSTEMLIBERALIZING COMMITMENTSLIBERALIZING TRADEMANUFACTURING INDUSTRIESMARKET ACCESSMARKET ACCESS COMMITMENTSMARKET ACCESS OPPORTUNITIESMARKET FAILURESMFNMFN EXEMPTIONSMINISTERSMODES OF SUPPLYMOVEMENT OF NATURAL PERSONSMULTILATERAL TRADENATIONAL TREATMENTNATIONAL WELFARENATURAL MONOPOLYNATURAL PERSONSOLIGOPOLYOPEN MARKETSOUTSOURCINGPARTICULAR COUNTRYPER CAPITA INCOMEPOLITICAL ECONOMYPREFERENTIALPRESENCE OF NATURAL PERSONSPROCOMPETITIVE REGULATIONPROCUREMENTPRODUCTIVITY GROWTHPROFESSIONAL SERVICESPROTECTIONISMPUBLIC INFORMATIONRECOGNITION AGREEMENTSREFORM PROGRAMSREGIONAL INTEGRATIONREGIONAL INTEGRATION AGREEMENTSREGIONAL TRADEREGULATORREGULATORSREGULATORY AGENCIESREGULATORY AUTHORITIESREGULATORY BARRIERSREGULATORY FRAMEWORKSREGULATORY PRINCIPLESREGULATORY REFORMREGULATORY REGIMEREGULATORY RESTRICTIONSREGULATORY STANDARDSREGULATORY SYSTEMSREVERSE AUCTIONSATELLITESSAVINGSSECURITY CONCERNSSERVICE ACTIVITIESSERVICE DELIVERYSERVICE SECTORSERVICE SECTORSSERVICE SUPPLIERSERVICE SUPPLIERSSERVICES ACTIVITIESSERVICES AGREEMENTSSERVICES CONTEXTSERVICES INDUSTRIESSERVICES INPUTSSERVICES LIBERALIZATIONSERVICES MARKETSSERVICES NEGOTIATIONSSERVICES PROVIDERSSERVICES REGULATIONSERVICES SECTORSERVICES SECTORSSERVICES SUPPLIERSSERVICES TRADESINGLE MARKETTECHNICAL ASSISTANCETECHNOLOGY TRANSFERTELECOMMUNICATIONTELECOMMUNICATIONSTELECOMSTRADE BARRIERSTRADE IN SERVICESTRADE LIBERALIZATIONTRADE NEGOTIATIONSTRADE POLICIESTRADE POLICYTRADE RESTRICTIONSTRADING PARTNERSTRADING SYSTEMTRANSACTION COSTSTRANSACTIONS COSTSTRANSPARENCYTRANSPORT SERVICESUNEMPLOYMENTUNIVERSAL ACCESSUNIVERSAL ACCESS FUNDSURUGUAY ROUNDWORLD TRADEWORLD TRADE ORGANIZATIONWTOWorld Bank10.1596/1813-9450-5517