Global Corporations in the Greenhouse: Developing Equitable Accounting Measures

Abstract

The declining role of the state in world economic affairs and the increasing reach of transnational corporations to various parts of the world pose a serious challenge to the effectiveness and success of international environmental treaties. With the further integration of the global economy and the rise of economic actors that operate and conduct their business without regard to national boundaries, cost-benefit analyses of economic development and environmental impact become problematic. For instance, are national states responsible for the pool of carbon emissions within their borders or do the foreign owners of carbon-emitting infrastructure and production or the consumers of goods manufactured by transnational corporations in Third World countries hold a share of the responsibility for the emissions created? These and other related issues, such as the promotion of equity and justice, are the main themes of this article.