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Format:
Print
Author:
Martínez-Meléndez, Luz Aída
Dept./Program:
Natural Resources
Year:
2012
Degree:
PhD
Abstract:
In an effort to expand capacities of production and consumption of goods and services countries have been shaping the dynamics of the international trade. Through trade countries also expand their capacities for pollution and use of natural resources providing interesting material to research. This dissertation aims to study international trade beyond economics and to identify its connection with environmental and social issues. To address this objective the North America Free Trade Agreement (NAFTA) is elected as a case of study. This research is comprised of four chapters.
Chapter one reviews the available literature about ecological economics, international trade and NAFTA. We affirm thar international trade collides with the ecological economics principle of limits to growth. About NAFTA we identified interesting research opportunities to develop innovative analyses.
Chapter two is an introductory piece that serves as conceptual framework and presents in a condensed format the most relevant information from the other Chapters.
Chapter three contains a quantitative assessment of selected indicators related to built, natural, human and social capitals in NAFTA countries. Data shows that the three NAFTA parties performed ppsitively in economic terms and performed negatively in environmental indicators. Performance on human and social indicators varied. This chapter also describes qualitatively the weak connection between the objectives of North America trade, environmental and labor cooperation agreements, therefore the failure in fulfilling the promised positive impacts.
Chapter four analyzes the environmental effects of services liberalization under NAFTA. This chapter contains a quantitative analysis regarding foreign direct investments in tourism in Mexico, and the main finding is that NAFTA was not the main driver in the liberalization of this sector. It includes an economic-environmental balance in a touristic place in Mexico -which concludes that the greatest environmental impact is of global importance: C0₂ released into the air by air transportation, followed by the local impact of water consumption, waste generation and electricity usage, in that order.
Chapter five studies qualitatively and quantitatively the economic relations between the three NAFTA parties and China after its accession to the WTO. Data shows that U.S. has a negative trade balance with China who in addition owns an important amount of U.S. debt instruments, as well that the number one export to China from Canada and U.S. are wheat and soybeans respectively. Regarding Mexico we proved that it is losing the competition with China for exports to U.S. The quantitative analysis shows that the environmental and social performance have worsened in China, while economic performance is on the rise accompanied by better performance in human capital -in terms of education and investment in research.
The final conclusion emphasizes the need for complementary domestic policies to achieve positive impacts from trade; it also proposes to change the level of analysis of international trade. We are used to studying international trade at nation-state level, but the major players in international trade are multinational companies whose activities should be regulated by an international organization. We say that the environment does not recognize political boundaries, it seems that multinational companies do not either; they operate in many countries at the same time but the economic gains belong to the home country, providing limited positive effects in the host countries.