Handbook of Globalization and the Environment

Khi V. Thai, Dianne Rahm, Jerrell D. Coggburn, Khi V. Thai, Dianne Rahm, Jerrell D. Coggburn

• Publisher: Routledge
• Year: 2017
• Print ISBN:
  9781574445534
• eBook ISBN:
  9781351564540
• Topic: Politica e relazioni internazionali
• Subtopic: Globalizzazione

Proponents of globalization argue that it protects the global environment from degradation and promotes worldwide sustainable economic growth while opponents argue the exact opposite. Examining the local, national, and international impacts of globalization, the Handbook of Globalization and the Environment explores strategies and solutions that support healthy economic growth, protect the environment, and create a more equitable world. The book sets the stage with coverage of global environmental issues and policies. It explores international sustainable development, the evolution of global warming policy, transborder air pollution, desertification, space and the global environment, and human right to water. Building on this foundation, the editors discuss global environmental organizations and institutions with coverage of the UN's role in globalization, the trade-environment nexus, the emergence of NGOs, and an analysis of the state of global environmental knowledge and awareness from an international and comparative perspective. Emphasizing the effects of increasingly integrated global economy on the environment and society, the book examines environmental management and accountability. It addresses green procurement, provides an overview of U.S. environmental regulation and the current range of voluntary and mandatory pollution prevention mechanisms in use, explores a two-pronged approach to establishing a sustainable procurement model, and examines a collaborative community-based approach to environmental regulatory compliance. The book concludes with an analysis of controversial issues, such as eco-terrorism, North-South disputes, environmental justice, the promotion of economic growth through globalization in less developed countries, and the ability of scientists to communicate ideas so that policy makers can use science in decision making.

Chapter 1

Globalization and the Environment: an Introduction

Khi V. Thai

Florida Atlantic University

Dianne Rahm and Jerrell D. Coggburn

The University of Texas at San Antonio

1.1 Overview

There are many debates on globalization and its effects on the environment and/or sustainable economic growth around the globe. Proponents of globalization argue that it protects the global environment from environmental degradation and promotes sustainable economic growth in the world, especially in developing countries. Opponents, on the other hand, contend that globalization is a threat to sustainable development. According to these opponents, global corporate business enterprises are responsible for environmental catastrophes that hinder sustainable economic growth. This chapter will briefly review the literature on globalization, the environment, and sustainable economic growth. We close with an overview of the book.

1.1.1 The Conceptual Meaning of Globalization

Globalization is viewed as a step toward a fully integrated world market [1,2] and as a key ingredient of a global society [3]. Globalization is also seen by some academics as a “borderless world” [4]. Brown [5] expounds on globalization as large-scale openness of borders accomplished by loosening state regulations to promote rapid financial transactions, trade, communications, and other social and cultural activities. More precisely, globalization is a phenomenon that encourages international integration through free trade and communication across borders [6,7].

Matteis [8] defines globalization as the process of progressive growth of economic activities which transcends any kind of geographical border. According to this definition, globalization can be seen as the increasing movement of goods and services as well as human resources through trade and investments among nations. Trade liberalization policy and international trade are perceived as important ingredients of globalization.

1.1.2 Perspectives on Sustainable Economic Growth

The World Commission on Environment and Development defines sustainable development simply as “development that meets the needs of the present without compromising the ability of future generations to meet theirs” [9]. From this definition, sustainable economic growth can be explained as sufficient economic growth for the present generation without harming the ability of future generations to attain their needs. The 1992 Rio Earth Summit provided a framework for moving towards sustainable development. The summit was rooted in the notion that efforts to protect the environment must consider eradication of poverty and the need for economic development while at the same time economic development programs should reflect consideration of long-term environmental impacts. The Rio framework reaffirmed the principles of sustainable development provided by the World Commission on Environment and Development [10]. The Earth Summit emphasized that the international economy should provide a supportive international climate for achieving environmental and development goals by promoting sustainable development through trade liberalization [10,11].

The World Bank [12] holds a complementary view on sustainable development [10]; it holds that environmental degradation, if extreme enough, can destroy societies, making whatever level of development previously achieved unsustainable. The World Bank emphasizes the need for control of population growth and the use of technology in developing countries to promote sustainable development [10,13].

1.1.3 Globalization, the Environment, and Sustainable Economic Growth

Will globalization lead to a sustainable environment and a sustainable economy? Researchers have disagreed on the various and multiple impacts of globalization on the environment and on economic growth.

1.1.3.1 Globalization and Sustainable Economic Growth

According to Matteis [8], globalization will have both positive and negative consequences with respect to sustainable economic growth. The positive aspects of trade liberalization in a global marketplace include competition, increased productivity, economic growth, and increased access to foreign capital. By creating competitive global markets, trade liberalization maximizes resources with consequent reduction of production costs and helps increase productivity. Similarly, the United Nations’ World Commission on Environment and Development [9] views the free market economy and trade liberalization as indicators of promoting sustainable economic growth. Free market access for products of developing countries, lower interest rates, technology transfer, and larger capital flows—the main ingredients of the global economy—have been identified by the United Nations as essential to sustainable development and poverty reduction. The World Bank [12] also focuses on the need for a free market economy and trade liberalization to reduce poverty and achieve sustainable growth. Globalization has provided the power of technology, especially information technology, to bolster the path of sustainable development for many nations; and has driven the world into a state of greater openness, interdependence, and integration that will bring about new development opportunities [14].

In addition, transnational corporations play a significant role in promoting sustainable economic growth within developing nations [15]. Halme, Park, and Chiu [16] explain the diverging impacts of globalization on sustainable economic growth. They argue that in spite of economic crisis in the late 1990s, countries in the Asia-Pacific region have attained the fastest rate of economic growth in the world over the past quarter century. Although the absolute number of poor remains high due to rapid population growth and other factors, the percentage of Asians who live in poverty has been reduced from 50 to 25% over the same period of time.

However, globalization imposes exogenous constraints on economic growth and contributes to strengthening economic dependence on international demand. It increases vulnerability to the fluctuations of international markets [8]. Indeed, according to Pronk [2], globalization will increase consumption and production, which will be coupled with unequal access to resources. Pronk emphasizes the need for creating new sustainable production and consumption patterns, as well as redirecting economic growth toward labor-incentive and bottom-up development which reduces poverty.

For example, the structural adjustment reforms in the 1980s and the influence of the North American Free Trade Agreement (NAFTA) in the 1990s manufacturing sector in the Caribbean island states failed to create a sustained path towards economic growth and have reduced the competitiveness of regional assembly-based manufacturers in the island states [17]. In addition to manufacturing, Caribbean service exports also continue to be affected by incompatibilities among global and local structures and institutions. Unfortunately, according to Mullings [17], individual island states have little power to challenge the trade or policy-based lending requirements of powerful global institutions like the World Trade Organization (WTO) or the International Monetary Fund (IMF).

Holliday, Schmidheiny, and Watts [18] emphasize the need for corporate social responsibility, that is, “commitment of the business to contribute to sustainable development, working with employees, their families and local community and society at large to improve their quality of life.” Unfortunately, although globalization is purported to create “trickle-down” gains for all, it has all too often resulted in gains for just a few—most of whom are wealthy [19,20]. Concerns over equity issues are plentiful.

1.1.3.2 Globalization and a Sustainable Environment

Researchers also disagree on the impact of economic growth helped by globalization on the environment. The United Nations [11] argues that environmental degradation can be reduced through reduction of poverty. Holliday, Schmidheiny, and Watts [18] believe that producing more goods and services with fewer resources will reduce waste and pollution while promoting sustainable growth. In this respect, they argue that free and open markets are essential for sustainable economic growth. Jeppesen and Hansen [15] found that transnational corporations in collaboration with enterprises in developing nations play an important role in environmental affairs for at least two reasons. Transnational corporations have environmental standards, monitoring, and pollution control mechanisms in place. Moreover, transnational corporations provide technical assistance and training to businesses in developing countries, which in turn promotes environmentally friendly economic development.

However, Castro [10] rejects the idea that economic growth is achieved by free trade, that economic growth reduces poverty, and that if poverty is reduced environmental degradation will be reduced. Castro argues that despite the partial success in reducing poverty, rapid economic growth, coupled with increasing urban population, has surpassed antipollution investments and has resulted in deteriorating air and water quality as well as loss of biodiversity and natural resources.

Major pollution threats to the environment in the age of globalization come from economic activities, such as agriculture, mining, manufacturing, and transportation [21]. For instance, deforestation rates in East Asia were the highest of any region in the early 1990s. The World Bank [22] reports that Indonesia alone lost 20 million hectares of forest between 1985 and 1998, while almost 90% of productive old-growth forests have been destroyed in the Philippines since 1990. Halme, Park, and Chiu [16] further argue that globalization is a challenge to sustainable development in Asia because the wealthy northern countries consume 80% of the world’s production while developing countries bear the burden of environmental and social impacts caused by that consumption. Moreover, threats to the environment in developing nations are more severe than in the developed world, due to cheap labor, access to inexpensive raw materials, poor environmental regulations, and other investment-friendly incentives offered by the governments of the host countries.

A positive trend has emerged recently: sustainability reporting and environmental information disclosure. For example, the sustainability reports published by the Fortune Global 250 indicate that the largest most visible multinational companies are very active in disclosing information on their environmental and social policies as well as their performance. Data show that European countries and Japan maintain a certain level of sustainability reporting, both in quantity and quality. Many multinational companies have also started disclosing economic aspects of sustainability [23], which indicate that global corporations are conducive to sustainable development.

Assessing the full impact of globalization on poverty reduction, economic development, and environmental quality is difficult to do. The phenomenon called globalization continues to transform as time goes on. Likewise, ecosystems respond to more than just globalization. Climate change, population growth, the use of new technologies, changes in patterns of consumption, alterations in production processes, civil conflict, and variations in the use of natural resources each play a role in environmental outcomes. Some are independent of globalization; others are intertwined with it. In this tightly coupled complex scenario, prediction of outcomes may be more art than science. Nevertheless, deepening our understanding of these phenomena is critical if we are to move to a more effective policy that seeks to end poverty and create economic growth, while at the same time protecting the environment. That is the purpose of this book.

1.2 Book Contents

The book is divided into four parts. Part One focuses on global environmental issues and policies. Part Two looks at global environmental organizations and institutions. Part Three addresses environmental management and accountability. Part Four discusses controversies in globalization and the environment. Further detail on the contents of each part is provided below.

1.2.1 Part One: Global Environmental Issues and Policies

Global environmental issues and policies are the subject of Part One. The term “sustainable development” only entered the global environmental lexicon about 20 years ago with the 1987 publication of Our Common Future by the UN’s World Commission on Environmental Development. Since that time, efforts have been made to bring meaning to the term and to pursue strategies that integrate economic, environmental, and other social considerations. Ross Prizzia’s chapter considers sustainable development from an international perspective. In the first part, he explores the challenges of simultaneously promoting development and the environment. As noted, many developing countries focus on rapid economic growth in the short-term at the expense of the environment, with the idea that environmental problems can be fixed “later.” In contrast, the UN’s Conference on the Environment and Development and its Agenda 21 have spurred some countries to develop specific sustainable development strategies. In the second part of the chapter, Prizzia uses “good practices” guidelines for national sustainable development strategies, as outlined by the Organization of Economic Cooperation and Development (OECD) and the UN, to examine OECD countries’ performance. These good practices fall into eight categories: policy integration, intergenerational timeframe, analysis and assessment, indicators and targets, coordination and institutions, local and regional governance, stakeholder participation, and monitoring and evaluation. Finally, Prizzia concludes by calling for more meaningful measures of sustainability, arguing that traditional measures of economic welfare, such as gross national product (GNP), eschew important aspects of human and environmental well-being, hence obfuscating true welfare, and calling for far more international cooperation.

David H. Davis’s chapter examines the evolution of global warming policy with a special emphasis on the European Union and its member countries. Davis provides an overview of the environmental policy framework in Europe, including an account of the prominent role played by scientific and technical staff in the various environmental bureaucracies. Environmental staffers were, for example, instrumental in pushing the European Union to assume a leadership role in global carbon reduction efforts. Davis shows not only the United States’ reluctance to embrace global agreements like the Kyoto Protocol, but also the bargaining and compromise (e.g., on emissions trading) that has typified the progress that has been made on global warming policy. The chapter concludes by drawing contrasts and similarities between European countries and the United States in this important facet of global environmental policy.

Zachary A. Smith and Katrina Darlene Taylor provide a detailed look at transborder air pollution and its relationship to globalization. The authors argue that the rise in environmental degradation associated with transborder air pollution is linked to and probably caused by the increase in globalization. The chapter examines several framework international agreements or regimes that have been created to deal with air pollution. The authors conclude that for international e...

Table of contents

• Cover
• Half Title
• Series page
• Title Page
• Copyright Page
• Preface
• The Editors
• Contributors
• Table of Contents
• 1 Globalization and the Environment: an Introduction
• PART I: GLOBAL ENVIRONMENTAL ISSUES AND POLICIES
• PART II: GLOBAL ENVIRONMENTAL ORGANIZATIONS AND INSTITUTIONS
• PART III: ENVIRONMENTAL MANAGEMENT AND ACCOUNTABILITY
• PART IV: CONTROVERSIES IN GLOBALIZATION AND THE ENVIRONMENT
• Index