Patterns of Ecologically Unequal Exchange in Argentina’s Trade: Environmental Pressures and Economic Outcomes Through Input-Output Analysis

Abstract

Ecologically unequal exchange theory highlights the asymmetric transfer of environmental pressures and economic benefits between core and peripheral countries. This study provides empirical evidence of these dynamics in Argentina’s trade with Brazil, China, and the European Union from 2000 to 2016. Using an environmentally extended multiregional input-output model, it estimates greenhouse gas emissions, natural resources, and value added embodied in trade flows. The findings reveal significant disparities: Argentina, as an exporter, bears environmental costs while receiving limited economic compensation in trade with core countries, whereas the latter avoid emissions but capture greater economic benefits. These results underscore ecologically unequal exchange as an aspect of trade between core and peripheral countries.

JEL Classification: D57, F14, F18, Q56