Trade, environment and development : an ecological economics perspective

Abstract

The growing importance of international trade has resulted in many debates concerning growth and the consequent impact on environment. This paper will critically analyze the impact of international trade on environment in developing countries. In addition, the paper will also compare the two approaches to evaluate the impact of economic activities including trade on environment. These two approaches are environmental economics and ecological economics. A case will then be made in favor of ecological economics as a more applicable approach for developing countries when evaluating environmental impact of trade.