Gallagher in WaPo on the South American Commodity Boom
In speaking to the Washington Post, Prof. Kevin Gallagher of the Boston University Frederick S. Pardee School of Global Studies points out that the commodity boom in South America has had significant environmental costs, particularly in terms of deforestation and land conflicts.
Interviewed for a news story titled “South American Commodity Boom Drives Deforestation and Land Conflicts” (December 31, 2014), Prof. Gallagher is quoted as follows:
“Commodity prices, directly or indirectly, have increased deforestation in the Amazon,” said Kevin Gallagher, a development economist at Boston University who specializes in Latin America’s trade relations with China. “Price increases create the perception of scarcity, which pushes investors into new terrain,” he said.
The news story goes on to quote him on explaining the phenomenon further:
“Price declines and slower growth make nations more desperate, and they can be more apt to weakening environmental standards in order to grab at any investment.”
Prof. Kevin P. Gallagher is the author of “The Dragon in the Room: China and the Future of Latin American Industrialization“ (with Roberto Porzecanski), ”The Enclave Economy: Foreign Investment and Sustainable Development in Mexico’s Silicon Valley“ (with Lyuba Zarsky), and “Free Trade and the Environment: Mexico, NAFTA, and Beyond.”
The full news story can be read here.