Environmental Engineering Reference
In-Depth Information
international level since many of the countries that are affected by such
development are reliant on foreign investment in most sectors of the
economy.
Our fi ndings point to the need for a more integrated regulatory strat-
egy that considers various industrial and service sectors in terms of their
contribution to development. Furthermore, our study shows that it is
essential to refi ne the granularity of policy analysis in the fi eld to show
how individual projects are affecting communities rather than relying on
aggregate data, which can obfuscate environmental and social impact.
Although rapid globalization may be a cause for some of the concerns
that communities encounter at the behest of multinational companies,
many solutions to these challenges also rely on the power of global net-
works. Systems of accountability that have emerged out of such networks
of infl uence such as corporate social responsibility hold promise despite
their potential for being misused as a source of shallow legitimacy or
“greenwash.” To be effective, these global networks of knowledge and
exchange of “best practices” must be coupled with systems of enforce-
ment through international norms. As our case analysis shows, there is
still a great need for such networks of enforcement. Novel governance
structures are evolving at the global level that are hybrids of state and
civil society components and have growing infl uence at the national level.
Such networks appear to be the most promising signs that foreign invest-
ment will be less likely to become a conduit for exploitation of develop-
ing economies.
Dependence, Justice, and the Race to the Bottom
Much of the environmental discourse on globalization has considered
the dependence of developing countries on other countries and interna-
tional institutions as a negative force that might hinder long-term
prospects for development. However, the dependence of economies
on multinational investment can also provide access to resources and
accelerate development. This acceleration can often be asymmetric as
businesses follow paths of least resistance and choose sectors or locations
that are most unregulated in terms of environmental and social compli-
ance costs. Such a “race to the bottom” is often attributed to globaliza-
tion without appropriate institutional structures to ensure social and
environmental justice. Asymmetries in development within countries can
raise concerns of environmental and social injustice, because inequality
can rise alongside aggregate economic indicators.
