ABSTRACT
This chapter argues that both technological change and globalization of commerce are important drivers affecting sustainability. It focuses on development and the environment and discusses the way that the environment is transformed by technological change and industrialization. The chapter addresses the trade and environment debate or, more precisely, the effects of trade liberalization or protectionism on the environment. It describes the role of investment decisions and how they affect the environment. The chapter outlines the impacts of environmental, health, and safety regulation on economic development/growth, trade and competitiveness, and investment decisions. Free-trade advocates generally argue that the net effects of liberalized international exchange on the environment are positive. The Global Sullivan Principles provide a different mechanism through which foreign firms investing private capital in developing nations could create upward pressure, particularly on social regulations. The chapter seeks to provide some insight into how the forces of technological change and globalization can shape development and affect employment opportunities.
