World Trade Organization (WTO) is an international body headquartered in Geneva that promotes world trade and enforces trade laws and regulations. The WTO is the successor organization to the General Agreement on Tariffs and Trade (GATT) , and started functioning on January 1, 1995. It has 146 member countries with 30 more countries having applied for membership. ("WTO in Brief" -- Fact File) While GATT's role was restricted to regulating trade in merchandise goods, WTO has a much more expanded role that includes trade in services, and protection for intellectual property rights. Unlike GATT, it also has the powers for settling trade disputes between countries; its...

("World Trade Organization" Encarta; Greenhouse, para-"What is WTO?")
WTO and its predecessor GATT were established to promote world trade by lowering tariffs and trade barriers since it is believed by many economists that increased international trade results in higher living standards and reduce poverty. The working of WTO consists of establishing trade rules as a result of lengthy (and often tense) negotiations between member countries, administration of the rules, and dispute resolution if the member nations violate these rules. ("World Trade Organization" Encarta; "WTO in…