ABSTRACT
The expansion of international trade lies at the heart of the mainstream view of how to achieve economic growth. The theory of comparative advantage, still the foundation of the free-trade paradigm, says that it is beneficial for all countries to export goods that they can produce comparatively cheaply. The effects of trade on the environment cannot be captured by any single perspective, method or set of data. There are many types of environmental effects—from pollution to resource depletion—occurring over different time-scales. The argument that growth benefits the environment also requires that the wealth generated is allocated to environmental protection. Research by the Sierra Club on the environmental impact of industrialisation on the northern borders of Mexico in response to the North American Free Trade Agreement suggests not only massive negative effects but a complete unwillingness of national or regional governments to take responsibility for the resultant health hazards.
