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Trade in a ‘Green Growth’ Development Strategy Global Scale Issues and Challenges

Author

Listed:
  • Jaime DE MELO

    (Ferdi)

Abstract
The paper surveys the state of knowledge about the trade-related environmental consequences of a country’s development strategy along three channels: (i) direct trade-environment linkages (overexploitation of natural resources and trade-related transport costs);(ii) ’virtual trade’ in emissions resulting from production activities; (iii) the product mix attributes of a ‘green-growth’ strategy (environmentally preferable products and goods for environmental management). Main conclusions are the following. Trade exacerbates over-exploitation of natural resources in weak institutional environments, but there is little evidence that differences in environmental policies across countries has led to significant ‘pollution havens’. Trade policies to ‘level the playing field’ would be ineffective and result in destructive conflicts in the WTO. Lack of progress at the Doha round suggests the need to modify the current system of global policy making.

Suggested Citation

  • Jaime DE MELO, 2012. "Trade in a ‘Green Growth’ Development Strategy Global Scale Issues and Challenges," Working Papers P48, FERDI.
    • Handle: RePEc:fdi:wpaper:473
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    File URL: http://www.ferdi.fr/sites/www.ferdi.fr/files/publication/fichiers/P48_WEB.pdf
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    References listed on IDEAS

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    Cited by:

    1. Bhisma K. Bhusal & James R. Wilson & Susana Franco, 2014. "Rethinking Policy Intervention for the Transition towards Competitive Trade-Led Green Growth," Working Papers 2014R02, Orkestra - Basque Institute of Competitiveness.

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    More about this item

    JEL classification:

    • F18 - International Economics - - Trade - - - Trade and Environment
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth

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