Local Economies, Trade, and Global Sustainability

Bioregional and "ecological economics" theory describes the growth of local economic linkages as vital to move post-industrial economies in the direction of sustainability. This involves expanding local stewardship over environmental and economic resources, so that progressively more production for local needs can be done within the community. Far from existing solely in the realm of theory, this is a pattern which is becoming more and more familiar in many parts of North America and Europe. The blossoming initiatives to create local, community-centred economies can be understood in light of the long history of environmental challenges faced by people living in the industrialized North, and the double economic blows of recession and trade liberalization/globalization exemplified by the passage of GATT and NAFTA and the development of the EC in the 1990s.This paper discusses the dynamic relationship between globalization and local economic development in the North from both theoretical and practical viewpoints. It provides examples from Toronto, Canada of the synergy among environmental awareness, community organizing and "alternative" employment creation (e.g. in environmental remediation and energy conservation activities) which can accompany recession or trade-induced worker layoffs. The resulting local economic patterns tend to be "greener" and more socially sustainable than the globally-tied economic linkages they replace.