The design of current regional economic organizations (REOs) is remarkably diverse. Some REOs address numerous economic issues, while others have only limited mandates. Some REOs have an independent bureaucracy and a legalized dispute settlement mechanism (DSM), while others do not. What determines this institutional variation? Thinking about these institutions as devices that generate credible commitment to a rule-based regional cooperation, institutionalists maintain that the intensity of commercial ties determine regional institutionalization and institutional independence. A number of studies question this logic and argue that it is “naïve.” Empirical evidence on the links between commerce, economic scope, and regional institutions is scant, however. Using an original data set that contains detailed information on the economic activities and institutional structure of twenty-eight REOs over three decades, this paper presents one of the first systematic analyses of these relationships. The empirical analysis indicates that the institutionalist wisdom is right after all. It shows that higher levels of regional trade are associated with greater institutionalization and economic scope, but only if implementation of signed agreements is accounted for, and that regional commerce and greater economic scope are associated with more independent bureaucracies and more legalized DSMs.
Some treaties are signed and then ratified quickly while others languish in legal limbo, unratified by one or more parties. What explains this variation in the time between signature and ratification? The international relations literature has not taken the ratification stage seriously enough, despite its obvious importance from a legal and a political perspective. We offer a systematic study of this question in the context of bilateral investment treaties. We develop and test a set of theoretical propositions related to domestic-level constraints on the executive, the varying ability of governments to rationally anticipate ratification obstacles, and the bilateral relationship between treaty partners. We generally find support for these propositions but report some surprising findings as well. The article presents implications for investment agreements and treaty making more generally, and raises a number of issues for further study at the intersection of international politics and law.