Abstract
This chapter discusses the development and significance of regional and bilateral investment agreements. The first two sections evaluate the reasoning behind the liberalization of trade and investment and the assumptions in favor of free trade agreements (FTAs) and bilateral investment treaties (BITs). The third section critiques different arguments in favor of negotiating and concluding BITs and FTAs. The fourth section proposes legal principles and standards to guide the application of bilateral trade and investment agreements in the future.
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