World Economy,World Society,and Environmental Harms in Less‐Developed Countries*

World economy and world society theories are engaged to assess the extent to which environmental harms in less‐developed countries are tied to particular kinds of economic and social integration. Results of panel models indicate that world economy integration in the context of sector‐level foreign investment contributes to a variety of environmental harms. With the exception of deforestation, world society integration in the mode of environmental international non‐governmental organization presence has no direct effect. However, a stronger presence of such organizations in less‐developed countries mitigates the effect of foreign investment on all tested outcomes. The authors contend that comparative sociologists should adopt theoretically integrative approaches and pay closer attention to how and under what circumstances world economy and world society factors interact to partially shape social and environmental conditions.     

Impact of CO<Subscript>2</Subscript> Emissions Reductions on Firms’ Finance in an Emerging Economy: The Case of the Czech Republic

This paper investigates the relationship between economic and environmental performance with focus on firms in an emerging economy, the Czech Republic, and their CO₂ emission reductions. We discuss whether the hypotheses tested for local pollutants that firms emit and firms’ finances are relevant for CO₂ emissions. We test the hypotheses on a sample of Czech firms included in the first phase of European Union Emissions Trading Scheme (EU ETS). We observe that introduction of EU ETS did not encourage significant investments in CO₂ emissions reduction. Importantly, the results show that the firms that did invest in CO₂ reductions experienced a negative impact on their finance. We argue that this is explained by the drop in the price of allowances on the carbon market in 2006 which resulted in firms receiving less revenue from saved allowances than they had expected.     

An Inclusive Treadmill? Expansion of Industrial Maize Farming and Simple‐Commodity Producers in Turkey

The growth of industrial maize farming in Turkey during the first decade of this century points to the primacy of economic development over ecological concerns at a time when global nitrogen and phosphorus flows already exceeded safe limits. In this article we focus on the relations of production as the driver of an economic sector that not only has ecological but also social costs. Through a trend analysis of maize yields as our ecological indicator, we explain how relations of production influence industrial maize farming in this period and how different modes of production (e.g., simple‐commodity producers) participate in a corporate market. A “treadmill of production” perspective argues that simple commodity producers are excluded from industrial treadmills. Our findings indicate that provinces with predominantly simple commodity production experienced significant increases in maize yields and adapted to the industrial maize treadmill. However, there is a significant difference between simple‐commodity producers and large farms that widens over the decade. Our results suggest that simple‐commodity producers are included in ecologically harmful economic practices with significant obstacles. We call for a revision of the assumed relationship between the size of economic operations and their ecological impacts in the critical sociology literature and policy approaches.     

The Treadmill of Production and the Positional Economy of Consumption

The theory of the treadmill of production highlights how the constant search for economic growth leads to advanced economies being stuck on a “treadmill,” where their well‐being is not improved by economic growth, yet the impacts of this pursuit of growth causes massive, unsustainable environmental damages. In interrogating the specific driving force that keeps the irrational system of the treadmill so powerfully in place, the theory of the treadmill of production focuses on how those who control the production process, corporations, are the primary agents driving the treadmill, while also highlighting how the state and workers generally continue to provide support for the treadmill's continued reproduction. In thinking about ways to begin to unwind the treadmill, there is a clear need to explore why workers, who are also consumers and citizens, continue to support (reluctantly or not) the treadmill of production. Through an analysis of the positional economy of consumption, this paper identifies key stakes that individual consumers have in expanding their income and consumption levels through the treadmill of production, despite the widespread inefficacy of the treadmill to increase aggregate satisfaction levels. This theory of the positional economy of consumption identifies the structural forces that lock individuals into increasing their income and levels of “defensive consumption” merely to maintain their existing levels of social practices and the well‐being generated from them, thus further supporting the reproduction of the treadmill of production. La théorie de l'‘engrenage de la production’ (‘treadmill of production’) démontre en quoi la recherche constante de croissance économique enferme les économies avancées dans un ‘engrenage’, où leur bien‐être n'est pas amélioré par la croissance économique, mais où les impacts de la poursuite de la croissance se traduisent par des dommages environnementaux massifs et irréparables. En analysant les forces spécifiques qui préservent ce système avec autant de pouvoir, cette théorie insiste sur l'importance de ceux qui contrôlent le processus de production (les corporations) en tant que principaux agents appuyant cet ‘engrenage’, tout en soulignant comment, d'une manière générale, l'Etat et les travailleurs persistent à soutenir sa perpétuation. En pensant aux manières d'arrêter cet ‘engranage’, il y a un besoin évident d'étudier pourquoi les travailleurs, qui sont aussi consommateurs et citoyens, persistent à soutenir (à contrec?ur ou pas) cet ‘engrenage’ de la production. Grâce à une analyse de l'économie positionnelle de la consommation, cet article identifie les principaux intérêts qu'ont les consommateurs individuels à augmenter leurs revenus et leurs niveaux de consommation au sein de cet engrenage de la production, en dépit de son inefficacité générale à améliorer les niveaux de satisfactions agrégés. Cette théorie de l'économie positionnelle de la consommation identifie les forces structurelles qui enferment les individus dans une recherche d'augmentation de leurs revenus et de leurs niveaux de ‘consommation défensive’, seulement pour maintenir leurs niveaux actuels de pratiques sociales et le bien‐être qui en découle, contribuant ainsi à reproduire l'engrenage de la production.     

Effects of Rural and Urban Population Dynamics and National Development on Deforestation in Less‐Developed Countries, 1990–2000*

While prior research and theorization establish connections between population growth and environmental degradation, there is a relative paucity of research on what particular aspects of population dynamics are most closely associated with specific types of degradation. Considering all less‐developed countries for which data are available, using Ordinary Least Square (OLS) regression we generate quantitative, cross‐national models for rates of deforestation in the last decade of the twentieth century. The opposite effects of rural and urban population dynamics are of particular concern. While both influence deforestation rates, the effects of rural population change tend to be more profound and more robust. We discuss these findings in light of theoretical work about circular migration and rural encroachment. In addition, we examine the impact of economic development on deforestation while controlling for political and social welfare variables. Findings suggest a trend toward rapidly increasing rates of deforestation in the least‐developed countries. We conclude with a discussion of how rural–urban population dynamics, in combination with other aspects of national development, affect the natural environment, particularly in light of an increasingly interconnected world economy.     

Can Capitalism Solve Its Own Rural Problems? Japanese Lessons for the World Bank's Vision of Rural-Led Development

Recent research and policy advice by international development organizations have, by their own account, sought to reverse a prior neglect of conditions in agriculture and rural areas. In pursuit of this, they have developed a vision of dynamic but incremental development in rural areas, anchored in a smallholder-based and economically diversified market economy. This vision, articulated in the World Bank's 2008 World Development Report and continuing to animate research and policy advice today, presents itself as a solution to persistent poverty in the world's least developed countries. This paper adopts a historical sociological lens to use the case of Japan, in the period from the latter half of the nineteenth century to the opening decades of the twentieth, to assess how realistic this vision is. This analysis shows that the lessons of Japan's experience are chastening for this vision of rural development. The mechanisms of growth in Japan were remarkably similar to those advertised by the World Bank's vision. However, its rural economic dynamism was based on deep socioeconomic inequalities and brought improved material conditions and greater economic security to agricultural households only with excruciating slowness, if at all. Rather than demonstrating the potential of incremental, market-oriented rural development to offer a path towards widespread poverty reduction, Japan instead serves as a warning of this development model's limitations.     

TVA,Appalachian underdevelopment,and the post‐industrial era

Shortly after World War II, the Appalachian coal industry underwent a dramatic transformation which, with hindsight, we can understand as part of a shift in the American economy from an industrial to post‐industrial economic base. A decade of change related to this transformation suggests that the post‐industrial era can create new forms of poverty, new forms of gender‐related inequality, and can exacerbate differences among regions and between rural and urban areas. This conclusion stems from the examination of the policies of the Tennessee Valley Authority from World War II to 1960 which stimulated changes in production processes, the work force and communities of coal mining regions that we now recognize as adverse consequences of de‐industrialization. The TVA's policies aggravated the negative consequences of economic transformation, including inducing competition among regions with depressed economies and surplus labor pools, a result which resembles the global economic competition of our own time. This history tempers the early optimism of analysts of the post‐industrial period by calling attention to the costs of de‐industrialization for working people, their families and communities.     

Remittances,Institutions and Growth in Africa

Remittances have become an important source of external finance in many developing countries. This article examines the relationship between remittances, institutions and economic growth in a panel of 26 African countries over the period 1980–2014. We apply the fixed effects (FE) and the two‐step system generalized method‐of‐moments (GMM) estimation methods. Our results show that there is a positive relationship between remittances and growth. We also find that institutions are an important determinant of economic growth. The interaction terms have a positive and statistically significant effect on economic growth. Thus, the growth effect of remittances is enhanced in the presence of strong institutions. Strong institutions are therefore germane in attracting greater remittance inflows to African countries. A clearer understanding of the channels through which remittance flows will enhance growth in African economies may assist policymakers to craft appropriate policies. In particular, a policy environment that promotes strong institutions would serve to attract more remittances.     

How Can Low‐income Countries Gain from a Framework Agreement on Climate Change? An Analysis with Integrated Assessment Modelling

By using the integrated assessment model RICE this article carries out a scenario analysis with different assumptions about international negotiations on climate change, in particular hypothesising about reduction in targets for greenhouse gas emissions, technology transfers and financial transfer programmes. It finds that, in terms of growth, developing countries and in particular sub‐Saharan Africa will benefit from agreements that reduce the level of pollution and promote technological diffusion. Moreover, when developed countries are subject to emissions limits and poor regions have no such commitments, financial transfers from rich to developing countries for adaptation and mitigation enhance pro‐poor growth and help the effectiveness of poor countries in reducing emissions.     

Structural adjustment and family policy in Africa: Lessons from Sudan

The economic strategy pursued by a country profoundly influences the well-being of families. This article uses a social accounting model of the Sudanese economy to compare the effects of two alternative development strategies on growth, employment, and income distribution. The first strategy considered is a conventional growth-oriented strategy emphasizing irrigated, export-oriented agriculture and modern, capital-intensive industry; the second one is a traditional agriculture-led development (TALD) strategy focused on enhancing equity and improving family nutrition by expanding food production. The study's findings for Sudan demonstrate that there is no necessary trade-off between growth and equity. The TALD strategy fosters income growth for the most vulnerable families while simultaneously maximizing aggregate growth. It also holds the prospect of enhancing family equity and increasing access to traditional institutions that provide support to families.World BankHer research interests encompass issues related to poverty and inequality in developing countries. She received her Ph.D. from Cornell University.Before joining the World Bank, he was a visiting scholar at the University of Connecticut and acting head of the Department of Econometrics, University of Khartoum, Khartoum, Sudan. His research interests span development economics (growth, poverty, and equity), public finance, and economic transition in Eastern Europe. He received his Ph.D. from the University of Pittsburgh.     

Civil Society in an Age of Environmental Accountability: How Local Environmental Nongovernmental Organizations Reduce U.S. Power Plants’ Carbon Dioxide Emissions

Institutional scholars have argued that in the absence of legislation on the issue of climate change, nongovernmental organizations (NGOs) can help reduce the amount of anthropogenic greenhouse gases being emitted to the environment by disseminating environmental norms. Consistent with this reasoning, they have shown that from the middle of the last century up through the mid‐1990s, nations with more memberships in NGOs have tended to have lower carbon dioxide (CO₂) emissions in the aggregate. Doubts remain, however, about whether NGOs have reduced emissions in the time since and at the level of individual power plants where the lion's share of carbon pollution is emitted. Using plant‐specific information on CO₂ emissions recently collected by the Environmental Protection Agency (EPA) under its Greenhouse Gas Reporting Program, we investigate the effects of local environmental NGOs (ENGOs) on plants’ environmental performance. Consistent with our expectations, we find that local ENGOs not only directly reduce plants’ emissions but indirectly do so by enhancing the effectiveness of subnational climate policies that encourage energy efficiency. We discuss the implications of our findings for research on the decoupling of normative systems, social movements, environmental sociology, and the EPA's proposed Clean Power Plan.     

Main Determinants of Foreign Direct Investment in the Southeast European Countries

The growth of foreign direct investments (FDI) in the world has been significant in recent years. Between 1990 and 2000 worldwide FDI inflows increased more than five times, and since 2000 they have declined. During the period of FDI expansion, growth was especially strong from 1997 onward. However, most of the FDI transactions were between the developed countries. The distribution of FDI is unequal and less-developing countries face difficulties in attracting FDI. Despite the fact that FDI is increasingly important to developing countries, over the past few years the share of the developing countries in worldwide FDI inflows has been declining. The paper analyses geographical and sector distribution of FDI in the Southeast European countries (SEEC) and compares its amount with that in Central East European countries. According to economic theory, FDI towards developing countries flows for labor-intensive and low-technology production, while towards developed states, it flows for high-technology production. Identification of determining factors of FDI is a complex problem which depends on several characteristics specific for each country, sectors, and companies. All those factors could be grouped in three broad categories: economic policy of host country, economic performance, and attractiveness of national economy. On the desegregated level, FDI depends on size and growth potential of a national economy, natural resources endowments and quality of workforce, openness to international trade and access to international markets, and quality of physical, financial, and technological infrastructure. An important question is how SEEC can attract more foreign investment. To find the answer, this paper uses data on FDI inflows to SEEC to determine the main host country determinants of FDI and provides regression-based estimation of determinants of FDI. Using a sample of SEEC and panel data techniques, the determinants of FDI in this part of Europe are investigated. The paper researches the relationship between FDI, GDP, GDP per capita, number of inhabitants, trade openness, inflation, external debt, and information and communication technology sectors. For SEEC, FDI inflows are largely dependent on the completion of the privatization process and in this paper we include the level of private sector and privatization as explanatory variables. Our findings suggest that certain variables such as privatization and trade regime, as well as the density of infrastructure, appear to be robust under different specifications. A positive significance of the agglomeration factor is also observed, confirming the relevant theoretical propositions. However, certain differential variables, such as the privatization, could not be fully captured due to the statistical homogeneity of the sample.     

Economic Dominance,the “American Dream,” and Homicide: A Cross‐National Test of Institutional Anomie Theory

This article presents a cross‐national test of Messner and Rosenfeld's (1994) institutional anomie theory. Drawing on multiple data sources, including the United Nations, World Bank, World Values Survey, and Heritage Foundation, we examine relationships between economic dominance, indicators of culture, and homicide among a sample of 50 nations. Additionally, we assess the thesis of “American exceptionalism,” a unique cultural complex implicated by Messner and Rosenfeld as a cause of high rates of serious crime in the United States. Results from OLS regression models provide mixed support for the theory. While none of the theoretical predictors exhibits a statistically significant direct effect on homicide, findings suggest that homicide occurs most often in countries where free‐market principles and practices drive the economy and where core cultural commitments are oriented toward achievement, individualism, fetishism of money, and universalism. However, contrary to expectations, the impact of a market‐driven economy is not more pronounced in countries with weakened non‐economic institutions, and results provide only limited evidence in support of the American exceptionalism thesis. The theoretical implications of these findings are discussed.     

Unequal Ecological Exchange and Environmental Degradation: A Theoretical Proposition and Cross‐National Study of Deforestation, 1990–2000*

Abstract Political‐economic sociologists have long investigated the dynamics and consequences of international trade. With few exceptions, this area of inquiry ignores the possible connections between trade and environmental degradation. In contrast, environmental sociologists have made several assumptions about the environmental impacts of international trade, but the assumptions lack theoretical specificity and are thus empirically under‐investigated. Bridging these two complementary areas of macrosociology, the present study proposes and tests a structural theory of unequal ecological exchange. The theory posits that more‐developed countries externalize their consumption‐based environmental costs to less‐developed countries, which increase forms of environmental degradation within the latter. To test a key assertion of the theory, a weighted index of vertical trade is created that quantifies the relative extent to which exports are sent to more‐developed countries. Using the index, cross‐national panel analyses of deforestation, 1990–2000 are conducted to test the hypothesis that less‐developed countries with higher levels of exports sent to more‐developed countries experience greater rates of deforestation, net of other factors. Results of the analyses confirm the hypothesis, providing support for the theory of uneven ecological exchange. Additional findings correspond with other sociological studies of deforestation, particularly those that focus on the effects of rural and urban population growth as well as level of capital intensity and rate of economic development.     

Room at the top? — the development of South Africa's manufacturing industry 1939–1969

The emergence of a significant manufacturing sector is no index of a social formation's shift to independent economic development. South Africa's path of industrialisation since the Second World War shows precisely the opposite. Industrial growth has been predicated on the reproduction of forms of capitalist production whose shape and rhythm of change are set in the advanced capitalist countries. Thus, South Africa's trajectory of accumulation in the recent phase may be characterised as ‘dependent industrialisation’. This is clearly seen in the domination of manufacturing industry by high‐technology, monopoly interests, closely interlinked with foreign investors and the state.     

Migration and Development: Mexico and Turkey

Mexico and Turkey are among the world's leading labor‐sending nations, with about 11 million Mexican‐born and 3.5 million Turkish‐born persons abroad in 2006. After two decades of uneven growth and job creation as well as persisting poverty and inequality, there are debates within both countries asking whether economic reforms have gone far enough to put the economy on a stable footing for sustained and equitable growth, or whether emigration (pressure) will continue. Some Mexicans are seeking to deepen North American Free Trade Agreement, while most Turks support entry into the European Union as a way of speeding economic growth.     

The microfinance promise—can it be kept? A macro perspective

After five decades of rapid expansion of microfinance worldwide, little is known about its aggregate effects and whether the “microfinance promise” of poverty reduction holds at the macro level. Challenging questions have arisen. Here we explore the dynamic response of microfinance on economic growth, financial deepening and income inequality. Countries are grouped into three broad clusters (stable, moderate and poor) based on macro‐institutional variables. Our results show that microfinance has a significant long‐term ability to affect the broader economy. However, the impact and dynamics of microfinance differ substantially across macro‐institutional environments. It grows in weaker environments, reaches its peak in developing economies, and then gradually “dies out” in more stable economies. While there is evidence of a positive impact of microfinance at the aggregate level, the response is different depending on whether countries are poor, moderately developed or economically stable. Once countries climb up the macro‐institutional “ladder,” microfinance can take a different shape and its relationship with other macroeconomic fundamentals can change. Our results indicate that microfinance has the strongest effect when the external environment is supportive and proactive; in weak environments, microfinance cannot grow sufficiently. Therefore, more attention should be given to supporting the socioeconomic dimensions of economies.     

Out of the shadows: Classifying economies by the extent and nature of employment in the informal economy

Given the prevalence of informality, this article proposes a typology for classifying countries by the extent and nature of employment in the informal economy, rather than by the composition of their formal economies. The author analyses ILO data on employment in the informal economy in 36 developing countries, and shows that there is a significant correlation between cross‐national variations in the degree and intensity of informalization and cross‐national variations in social and economic indicators such as levels of GNP per capita, corruption, poverty, taxation and social contributions. The article concludes by discussing implications for theory and policy.     

Going Green: Environmental Protest,Policy, and CO2 Emissions in U.S. States, 1990–2007

A major goal of the environmental movement is to conserve or improve the natural environment, but evidence showing that environmental mobilization produces positive environmental outcomes is mixed. This article addresses a fundamental question about the relative impact of pro‐environmental mobilization and the scope of an environmental policy regime on the natural environment. Using panel data at the state level from 1990 through 2007, we explore how environmental protest and environmental policies independently (or jointly) reduce CO₂ emissions in U.S. states. We find that the level of emissions in a state declines in states with increases in pro‐environmental protest, net of the effects of the range of environmental policies enacted, gasoline taxes, liberal attitudes, reliance on the fossil fuel industry, number of registered lobbyist organizations, gross state product, and population size.     

Carbon Labelling and Low‐income Country Exports: A Review of the Development Issues

This article discusses the carbon accounting and carbon‐labelling schemes being developed to address growing concerns over climate change. Its particular concern is their impact on small stakeholders, especially low‐income countries. The popular belief that trade is by definition problematic is not true; carbon efficiencies elsewhere in the supply chain may more than offset emissions from transportation. Indeed, low‐income countries may offer important opportunities for carbon emission reductions because of their favourable climatic conditions and use of low energy‐intensive production techniques. However, their effective inclusion in labelling schemes will require innovative solutions to provide low‐cost data collection and certification.