Step 1: WTO Establishment
The World Trade Organization (WTO) was founded in 1995 to oversee international commerce and facilitate trade discussions. It succeeded the General Agreement on Trade and Tariffs (GATT), which operated from 1948 and concentrated on lowering tariffs and boosting trade.
Step 2: GATT's Function
GATT was a multinational agreement designed to advance global trade by reducing obstacles like tariffs. However, GATT lacked a formal institutional structure, leading to the creation of the WTO to provide a more solid and extensive framework for global trade regulation.
Step 3: Alternative Organizations
- (B) League of Nations: Established post-World War I and succeeded by the United Nations in 1945, it is unrelated to the WTO.
- (C) United Nations: This organization focuses on peace, security, and cooperation, not trade.
- (D) Amnesty International: A non-governmental organization dedicated to human rights, not trade matters.
Step 4: Conclusion
Consequently, the WTO was established as the successor to the General Agreement on Trade and Tariffs (GATT), designating Option (A) as the correct choice.