In 2005, the WTO Appellate body ruled that the United States' total prohibition on cross border gambling services was unlawful under the General Agreement on Trade in Services (GATS). The questions raised by the case - whether and how a government could block service provision on moral grounds - went to the heart of key controversies surrounding international economic law. How do you reconcile a liberal system of international trade in services with national governments' desire to protect social values through service regulation? How much control are the WTO members willing to transfer to the WTO? How much regulatory diversity can the traditional trading system withstand?
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