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59 percent of the gap stems from how countries account for emissions from land, a unique sector in that it can both help and harm the climate. Land can draw in carbon as plants grow and soils store it away — or it can all go back up into the atmosphere as forests are logged or burn and as peat-rich bogs are drained and start to emit large amounts of carbon dioxide

methane emissions comprise a second major portion of the missing greenhouse gases in the U.N. database. Independent scientific data sets show between 57 million and 76 million tons more of human-caused methane emissions hitting the atmosphere than U.N. country reports do. That converts to between 1.6 billion and 2.1 billion tons of carbon dioxide-equivalent emissions

countries are undercounting methane of all kinds: in the oil and gas sector, where it leaks from pipelines and other sources; in agriculture, where it wafts upward from the burps and waste of cows and other ruminant animals; and in human waste, where landfills are a major source

Data from the International Energy Agency (IEA) lists Russia as the world’s top oil and gas methane emitter, but that’s not what Russia reports to the United Nations. Its official numbers fall millions of tons shy of what independent scientific analyses show, a Post investigation found. Many oil and gas producers in the Persian Gulf region, such as the United Arab Emirates and Qatar, also report very small levels of oil and gas methane emission that don’t line up with other scientific data sets.

fluorinated gases, which are exclusively human-made, also are underreported significantly. Known as “F-gases,” they are used in air conditioning, refrigeration and the electricity industry. But The Post found that dozens of countries don’t report these emissions at all — a major shortcoming since some of these potent greenhouse gases are a growing part of the world’s climate problem.

Vietnamese officials said more recent reports assume fluorinated gases do not escape from air conditioning and refrigeration systems. But they do: U.S. supermarkets lose an average of 25 percent of their fluorinated refrigerants each year.

Some countries with lagging data have significant carbon footprints: Iran, one of the top 10 largest emitters, has not filed an inventory since 2010; Qatar, a large natural gas producer, last revealed its emissions in 2007; and Algeria, a major oil and gas producer, in 2000.

more than 1 billion tons of emissions from international air travel and shipping, for which no country takes responsibility.

emission reports are so unwieldy that the United Nations does not have a complete database to track country emissions. Some 45 countries have not reported any new greenhouse gas numbers since 2009

While the Paris agreement calls for a more transparent system by the end of 2024, it could take until 2030 to get to robust reporting — an eternity compared with the tight time frame the world needs to get it right. The world has already warmed at least 1.1 degrees Celsius (2 degrees Fahrenheit) compared with preindustrial levels, leaving a very narrow path to avoid crossing the dangerous warming thresholds of 1.5 and 2 degrees Celsius.

In one of the most striking cases, Ciais’s study found that methane leakage from fossil fuel operations in the oil states of the Persian Gulf could be as much as seven times more than what they officially report.

On the one hand, the Earth is working harder to mitigate carbon pollution than we may realize. On the other hand, droughts, wildfires and other major disturbances tied to climate change quickly can release much of this carbon again.

The bulk of emissions comes from burning fossil fuels, which can be tallied with reasonable precision. But more than a third are not easily tracked, including the emissions that arise when forests are chopped down or lost to fire, peatlands are drained, or excess fertilizer is spread on agricultural fields.

the U.N. reporting guidelines don’t currently require any atmospheric or satellite measurements, known as a “top-down” approach. Rather, the guidelines ask scientific bookkeepers in each country to quantify levels of a particular activity. This includes the number of cows, whose burps makes up 4 percent of total greenhouse gases, the amount of fertilizer used or how much peatland was converted to cropland in a given year. Then, countries multiply those units by an “emissions factor” — an estimate of how much gas each activity produces — to determine a total for everything from belching cows to tailpipe emissions.

“garbage in, garbage out.”

Malaysia’s skewed data vividly illustrates the high stakes countries face as they confront the growing pressure to reduce emissions while managing the very real economic consequences that process triggers.In the past decade, some in the Southeast Asian nation have gone to great lengths to counter the scientific conclusion that its oil palm industry is releasing huge amounts of carbon

across Sarawak and other regions of Malaysia, 4,000 square miles of these forests — close to the size of Connecticut — have been drained in recent decades. Much of this land is sown with plantations for palm oil, commonly used in products ranging from biofuels to processed foods, soaps and makeup

When peatland is drained, it releases a rapid pulse of carbon dioxide and other greenhouse gases as the once-waterlogged plants’ remains degrade with the sudden exposure to air. Emissions then continue for decades, until all the peat is gone.

Malaysia’s government has downplayed the palm oil industry’s climate impact across several categories in its U.N. reports.In 2016, Malaysia claimed that it had not converted a single acre to cropland.“This is patently untrue,”

“When you walk over peatlands, your feet sink down into thousands of years of carbon,” said Hurowitz, the Mighty Earth chief executive. “Sarawak has sent its peatland destruction advocates to scientific, government and corporate events for years to present a wildly distorted picture of destroying these ultrarich carbon ecosystems.”

Xi is not promising an immediate turnaround. The peak will still be expected around 2030. Recent investments in new coal-fired capacity have been alarming. A gigantic 58 gigawatts of coal-fired capacity have been approved or announced just in the first six months of this year. That is equivalent to 25 percent of America’s entire installed capacity and more than China has projected in the previous two years put together. Due to the decentralization of decision-making, Beijing has only partial control over the expansion of coal-burning capacity

Chinese officials laugh when they earnestly seek advice from Europeans on problems of the “just transition” and realize that the entire fossil fuel workforce that has to be taken care of in Germany is smaller than that of a single province in China. It will be an upheaval similar to the traumatic 1990s shakeout of Mao Zedong-era heavy industry.

Hitherto the only big bloc fully committed to neutrality was the EU. The hope for this year was an EU-China deal that would set the stage for ambitious new targets to be announced at the COP26 U.N. climate conference planned for Glasgow in November. Rather than a summit in Leipzig, the Sino-EU meeting took place via videoconference. The exchanges were surprisingly substantive. The Europeans wanted China to commit to peak emissions by 2025 and made menacing references to carbon taxes on imports from China if Beijing did not raise its ambition. They have given a cautious welcome to Xi’s U.N. statement. They can hardly have expected more.

Now the pressure will be on India, long China’s partner in resisting calls from the West for firm commitments to decarbonization, to make a similarly bold climate announcement

On the one hand, the Europeans increasingly want to stake out a strong position on Hong Kong, Xinjiang, human rights, and any geopolitical aggression in the South China Sea. Europe’s residual attachment to the United States is real. But China has now underscored how firmly it aligns with a common agenda with the EU on climate policy. The contrast to the Trump administration could hardly be starker.

The sobering truth is that neither the EU nor China is any longer conditioning its climate policy on the United States. If you are serious about the issue, how could you? If Washington does come around to supporting a Green New Deal of the Joe Biden variety, that will, of course, be welcome. But in light of America’s cavalier dismissal of the Paris agreement, even if a new administration were to make a new and more ambitious round of commitments, what would that amount to? So long as the basics of the American way of life remain nonnegotiable and climate skepticism has a strong grip on public opinion, so long as the rearguard of the fossil fuel industries is allowed the influence that it is, so long as one of the two main governing parties and the media that supports it are rogue, America’s democracy is not in a position to make credible commitments.

Trump’s inversion of U.S. policy is possible because Obama never put the Paris agreement to Congress. Indeed, after the abortive cap and trade legislation of 2009, the cornerstone of the original Green New Deal, the Obama administration abandoned major legislative initiatives on climate change. Instead, it relied on regulatory interventions and the force of cheap fracked gas to deliver a modest decarbonization agenda, anchored on ending coal.

If there are affordable and high-quality technological options, the switch to green will happen. Due to the advances in solar and wind power, we are rapidly approaching that point. Whatever Trump’s bluster, coal is on its way out in the United States, too.

There are no doubt positive synergies to be had between market-driven energy choices in the United States and the industrial policy options that the European and Chinese bids for neutrality will open up. Solar and wind have already given examples of that. But amid the shambles of U.S. policy both on climate and the coronavirus, it is time to recognize a qualitative difference between the United States and Europe and China. Whereas Europe and China can sustain an emphatic public commitment to meeting the challenges of the Anthropocene with international commitments and public investment, the structure of the U.S. political system and the depth and politicization of the culture wars make that impossible. Perversely, the only way to build bipartisan political support for a green transition in the United States may be to pitch it as a national security issue in a cold war competition with China.

For the United States, everything hangs in the balance. For the rest of the world, that is not the case. As Xi made clear on Sept. 22, as far as the most important collective issue facing humanity is concerned, the major players are no longer waiting. If the United States joins the decarbonization train, that will be all well and good. A constructive U.S. contribution to U.N. climate diplomacy will be most welcome. But the era in which the United States was the decisive voice has passed. China and Europe are decoupling.

Forest loss and species extinctions have only increased as industrial agriculture has scaled up in Brazil. Farmers are burning unprecedented amounts of forest to expand their operations in pursuit of an industrial model. In August 2019, smoke blocked the sun in São Paulo, Brazil, 2,000 miles away from the fires in the state of Amazonas.

As agriculture has industrialized in India, the use of pesticides and fertilizers has risen as well. Although it has become more difficult to breathe the air in Brazil, it has become harder to find clean freshwater in India, where pesticide contamination is rising. There, the costs of the industrial agriculture model are plainly ecological and human: Unable to drink the water or pay back the loans they took out to finance their transition to industrial farming, an alarming number of Indian farmers are drinking pesticides instead. Almost a quarter-million Indian farmers have died by suicide since 2000, and 10,281 farmers and farm laborers killed themselves in 2019 alone.

we are peering into an abyss of systemic socioecological collapse because every effort has been made to use industrialization to break through all known ecological and human limitations to scaling agriculture.

nutrient runoff from industrial agriculture in the U.S. Midwest has created an annual dead zone—a hypoxic area low in or devoid of oxygen—that is the size of Massachusetts

Rural communities are experiencing rising suicide rates, especially among young people, along with increases in “deaths of despair” from alcohol and drugs—an expanding human dead zone

Industrialized agriculture has been a hallmark of U.S. foreign policy in the post-World War II era. Under the guise of development for all and the mantra of “feed the world,” the United States has used policy to dump surplus grain in low-income countries—undermining markets for smallholder farmers—and cultivate foreign markets as importers of high-input, industrial agriculture technologies to scale agriculture. At home, federal policy since the 1970s has explicitly promoted scaling industrial agriculture through the “get big or get out” imperative.

The U.S. Corn Belt, which spans the region from Ohio to Nebraska, produces 75 percent of the country’s corn, but around 35 percent of the region has completely lost its topsoil. Industrial agriculture has been pursued with special zeal in Iowa, where there are 25 million hogs and 3 million people. There, water from the Raccoon River enters the state capital of Des Moines—home to 550,000 people—with nitrates, phosphorus, and bacteria that have exceeded federal safe water drinking standards.

Soil and water-conserving perennial varieties of rice, wheat, legumes, and other food-grain crops—which are now being developed—could serve as components of diverse, perennial, multispecies communities of food crops that replicate how nature functions

smaller, more diverse farm operations

It is time to scale down agriculture and enhance our resilience to coming disruptions

issues such as securing electricity grids around the world against cyberattacks, since a decarbonized world will depend even more on electrical power as many additional sectors—such as buildings, cars, and trucks—are electrified

access to rare earths and other critical minerals such as lithium and cobalt will be even more important as raw materials for batteries, solar panels, and other renewable energy technologies.

defense leaders should work with their counterparts in other governments and within international institutions, such in the United Nations Security Council and NATO, to integrate climate change into their security agendas. Defense planning must increasingly consider the impacts of climate change, such as the threats of extreme weather to military installations, the stresses increased disaster assistance may pose to military readiness, and the risks food or water scarcity may pose to security in fragile states

From the standpoint of foreign policy, stronger domestic action can also lay the groundwork for cooperation instead of conflict with the European Union, which is planning to impose carbon border tariffs on imports from countries taking inadequate climate actions.

foreign policy must go beyond climate and energy diplomacy to make mainstream the consideration of climate change in all foreign-policy decisions. It may not always prevail when weighed against all other national security goals, but it is too important to be ignored.

the biggest shift from the current U.S. approach would be to take climate change considerations into the mainstream of all national-security and foreign-policy decision-making

Every ton of carbon dioxide contributes to climate change no matter where it is emitted, so an ambitious climate strategy cannot only be domestic—it must put the issue squarely at the center of U.S. foreign policy.

given both the urgency and global nature of climate change, the issue cannot be siloed into U.S. State Department or Energy Department offices and spheres of diplomacy. Many aspects of U.S. foreign policy will impact, and be impacted by, climate change. An effective foreign policy requires taking climate change directly into consideration—not just as a problem to resolve, but as an issue that can affect the success and failure of strategies in areas as varied as counterterrorism, migration, international economics, and maritime security.

a strategy for stability in Iraq will not be effective unless it considers the impacts of water scarcity and heat waves on the Iraqi people or the loss of Iraq’s oil revenue as climate policy gradually erodes oil demand. Similarly, the United States’ efforts to counter terrorism in North Africa may prove fruitless unless officials also consider climate impacts on desertification that make local populations vulnerable to terrorists’ promises

U.S. foreign policy has aimed for many years to rebuild Iraq’s struggling economy by helping the country to boost its oil output, and to address its chronic and politically destabilizing electricity shortages by increasing gas production as well. A climate-centered foreign policy would not only provide assistance to reduce flaring and use that gas within Iraq, but also explore opportunities to attract investment in renewable energy

in many cases there may not be a climate-friendly alternative approach. But foreign-policy makers won’t know whether the alternatives exist or not unless they ask the question

The National Environmental Policy Act requires that before major federal actions are taken, the relevant agency analyzes the effects on the environment and identifies reasonable alternatives that may mitigate those effects. A similar internal step in the foreign-policy making process—time permitting—would ensure that officials have full information about environmental consequences before they act. Several international financial institutions such as the World Bank have processes, albeit imperfect, to review the environmental impacts of their actions

we are on the verge of a global boom in mining linked to the energy transition

by 2040, the IEA forecasts that demand for lithium will have increased 42 times relative to 2020 levels

In the US and Europe, policymakers increasingly talk about a “race” to secure the minerals linked to energy transition and shore up domestic supplies; the idea of a “new cold war” with China is frequently invoked

natural resource sectors, which include extractive activities like mining, are responsible for 90% of biodiversity loss and more than half of carbon emissions. One report estimates that the mining sector produces 100bn tons of waste every year. Extraction and processing are typically water- and energy-intensive, and contaminate waterways and soil. Alongside these dramatic changes to the natural environment, mining is linked to human rights abuses, respiratory ailments, dispossession of indigenous territory and labour exploitation. Once the minerals are wrested from the ground, mining companies tend to accumulate profits and leave behind poverty and contamination. These profits only multiply along the vast supply chains that produce electric vehicles and solar panels. Access to these technologies is highly unequal, and the communities who suffer the harms of extraction are frequently denied its benefits.

battles between competing visions of a low-carbon world are intensifying – and they will become increasingly central to politics across the world

there are multiple paths to rapid decarbonisation

A transportation system based on individual electric vehicles, for example, with landscapes dominated by highways and suburban sprawl, is much more resource- and energy-intensive than one that favours mass transit and alternatives such as walking and cycling

Chilean activists are clear: there is no zero-sum conflict between fighting climate breakdown and preserving local environments and livelihoods. Indigenous communities in the Atacama desert are also on the frontlines of the devastating impacts of global heating. Rather than an excuse to intensify mining, the accelerating climate crisis should be an impetus to transform the rapacious and environmentally harmful patterns of production and consumption that caused this crisis in the first place

On a planet that shares a single atmosphere, concepts like "here" and "there" are misleading. The steak we eat "here" threatens a farmer’s harvest "there". The plane someone catches "there" makes the water levels rise "here".

Each and every individual, organisation and country that reduces its carbon footprint is a small but indispensable link in the fight against global warming. Eventually, we will reach the tipping point: so many people will have switched to zero-carbon energy sources that fossil fuels will be "overcome".

The elderly, people of colour, immigrants, low-educated adults, people in debt, people on lower incomes, people in developing countries, refugees, the uninsured, the unemployed: all these groups have an above-average risk of falling prey to this pandemic, both physically and socio-economically

those who contribute least to the climate crisis are most severely affected by it – and vice versa

the unequal distribution of the climate emergency is a crisis in its own right.

The coronavirus pandemic shows that “keeping distance” and similar measures are primarily for the privileged, only available to people who “can afford to retreat in individualism”, as OluTimehin Adegbeye, our correspondent in Nigeria, put it so powerfully.

These flaws are more visible now than ever before. The way we deal with animals is untenable. Patent laws in the pharmaceutical industry pose a real threat to public health. The fossil fuel industry, like the financial sector, is only able to exist by the grace of privatised profits and socialised losses.

a sustainable society is not a pandemic bunker. The similarity is that the change that is needed will affect every aspect of society. There really isn’t an app for it.

Continuing to see Earth as an infinite resource and the sky above us as an infinite garbage bin, in order to artificially boost quarterly profits, with CEOs sitting in reality-proofed boardrooms comparing the size of their bonuses while begging for taxpayer bailouts but refusing to pay taxes themselves: no, that’s a “normal” we simply can’t afford going back to.

Thousands of deaths and intensive care units (ICUs) flooded with patients struggling to breathe cannot be denied for very long, even by the most persistent manufacturers of alternative facts – unlike climate refugees (“fortune seekers!”), loss of biodiversity (“the dinosaurs died out too, right?”), and global warming itself (“temperatures have risen before!”).

we are, in fact, capable of bringing about sweeping societal change to protect us all. Now is the time to resolve not one crisis but two. Starting with sustainable spending of the trillions (!) being allocated to coronavirus-related measures right now.

No government bailouts for fossil industries without an exit strategy towards a zero-carbon business model within 30 years. No government bailouts for companies with primary bank accounts in tax havens. And even more government funding for truly sustainable alternatives. How about giving that a try?

Our analysis confirms that unequal exchange is a significant driver of global inequality, uneven development, and ecological breakdown.

Today, we are told, the world economy functions as a meritocracy: countries that have strong institutions, good markets, and a steadfast work ethic become rich and successful, while countries that lack these things, or which are hobbled by corruption and bad governance, remain poor. This assumption underpins dominant perspectives in the field of international development (Sachs, 2005, Collier, 2007, Rostow, 1990, Moyo, 2010, Calderisi, 2007, Acemoglu and Robinson, 2012), and is reinforced by the rhetoric, common among neoclassical economists, that free-trade globalization has created an “even playing field”.

Emmanuel and Amin argued that unequal exchange enables a “hidden transfer of value” from the global South to the global North, or from periphery to core, which takes place subtly and almost invisibly, without the overt coercion of the colonial apparatus and therefore without provoking moral outrage. Prices are naturalized on the grounds that they represent “utility”, or “value”, or the outcome of “market mechanisms” such as supply and demand, obscuring the extent to which they are determined by power imbalances in the global political economy. Price differentials in international trade therefore function as an effective method of maintaining the patterns of appropriation that once overtly defined the colonial economy, allowing blame for “underdevelopment” to be shifted onto the victims.

Historians have demonstrated that the rise of Western Europe depended in large part on natural resources and labour forcibly appropriated from the global South during the colonial period, on a vast scale. Spain extracted gold and silver from the Andes, Portugal extracted sugar from Brazil, France extracted fossil fuels, minerals and agricultural products from West Africa, Belgium extracted rubber from the Congo; and Britain extracted cotton, opium, grain, timber, tea and countless other commodities from its colonies around the world – all of which entailed the exploitation of Southern labour on coercive terms, including through mass enslavement and indenture. This pattern of appropriation was central to Europe’s industrial growth, and to financing the expansion and industrialization of European settler colonies, including Canada, Australia, New Zealand and the United States, which went on to develop similarly imperialist orientations toward the South (e.g., Naoroji, 1902, Pomeranz, 2000, Beckert, 2015, Moore, 2015, Bhambra, 2017, Patnaik, 2018, Davis, 2002).

for every unit of embodied resources and labour that the South imports from the North they have to export many more units to pay for it, enabling the North to achieve a net appropriation through trade. This dynamic was theorized by Emmanuel (1972) and Amin (1978) as a process of “unequal exchange”.Emmanuel and Amin argued that unequal exchange enables a “hidden transfer of value” from the global South to the global North, or from periphery to core, which takes place subtly and almost invisibly, without the overt coercion of the colonial apparatus and therefore without provoking moral outrage. Prices are naturalized on the grounds that they represent “utility”, or “value”, or the outcome of “market mechanisms” such as supply and demand, obscuring the extent to which they are determined by power imbalances in the global political economy. Price differentials in international trade therefore function as an effective method of maintaining the patterns of appropriation that once overtly defined the colonial economy, allowing blame for “underdevelopment” to be shifted onto the victims.

Following Dorninger et al. (2021), we use a “footprint” analysis of input–output data to quantify the physical scale of raw materials, land, energy and labour embodied in trade between the North and South, looking not only at traded goods themselves but also the upstream resources and labour that go into producing and transporting those goods, including the machines, factories, infrastructure, etc.

Grounding our analysis in the physical dimensions of unequal exchange is important for several reasons. First, these resources – raw materials, land, labour and energy – embody the productive potential that is required for meeting human needs (use-value) and for generating economic growth (exchange-value). Physical drain is therefore ultimately what drives global inequalities in terms of access to provisions, as well as in terms of GDP or income (see Hornborg, 2020). Second, this approach allows us to maintain sight of the ecological impacts of unequal exchange. We know that excess energy and material consumption in high-income nations, facilitated by appropriation from the rest of the world, is causing ecological breakdown on a global scale. Tracing flows of resources embodied in trade allows us to determine the extent to which Northern appropriation is responsible for ecological impacts in the South; i.e., ecological debt (Roberts and Parks, 2009, Warlenius et al., 2015, Hornborg and Martinez-Alier, 2016).

Due to the growing fragmentation of international commodity chains, monetary databases on bilateral gross trade flows have been criticised for not accurately depicting the monetary interdependencies between national economies (Johnson and Noguera, 2012), i.e., the amount of a countries’ value added that is induced by foreign final demand and international trade relations. Trade in Value Added (TiVA) indicators Johnson and Noguera, 2012, Timmer et al., 2014 are designed to take into account the complexity of the global economy. The TiVA concept is motivated by the fact that, in monetary terms, trade in intermediates accounts for approximately two-thirds of international trade. Imports (of intermediates) are used to produce exports and hence bilateral gross exports may include inputs (i.e., value added) from third party countries (Stehrer, 2012). TiVA reveals where (e.g., in which country or industry) and how (e.g. by capital or labour) value is added or captured in global commodity chains (Timmer et al., 2014).

TiVA, which is sometimes referred to as the “value footprint”, is the monetary counterpart of the MRIO-based environmental footprint because both indicators follow the same system boundaries, i.e., all supply chains between production and final consumption of two countries including all direct and indirect interlinkages. Moreover, in contrast to global bilateral monetary trade flows, TiVA is globally balanced, meaning that national exports and imports globally sum up to zero. This is an important feature of the TiVA indicator that facilitates more consistent and unambiguous assessments.

for every unit of embodied raw material equivalent that the South imports from the North, they have to export on average five units to “pay” for it

For land the average ratio is also 5:1, for energy it is 3:1, and for labour it is 13:1

Table 1. Resource drain from the South.ResourceNorth → South flows 2015South → North flows 2015Drain from South in 2015Cumulative drain from South 1990–2015Raw material equivalents [Gt]3.3715.3912.02254.40Embodied land [mn ha]527.421,349.01821.5932,987.23Embodied energy [EJ]21.5543.5121.06650.34Embodied labour [mn py-eq]31.11219.22188.125,956.62

in the year 2015 the North’s net appropriation from the South totalled 12 billion tons of raw materials, 822 million hectares of land, 21 exajoules of energy (equivalent to 3.4 billion barrels of oil), and 188 million person-years equivalents of labour (equivalent to 392 billion hours of work). By net appropriation we mean that these resources are not compensated in equivalent terms through trade; they are effectively transferred gratis. And this appropriation is not insignificant in scale; on the contrary, it comprises a large share (on average about a quarter) of the North’s total consumption.

significant consequences for the global South, in terms of lost use-value. This quantity of Southern raw materials, land, energy and labour could be used to provision for human needs and develop sovereign industrial capacity in the South, but instead it is mobilized around servicing consumption in the global North.

Eight hundred and twenty-two million hectares of land, which is twice the size of India, would in theory be enough to provide nutritious food for up to 6 billion people, depending on land productivity and diet composition

material use is tightly linked to environmental pressures. It accounts for more than 90% of variation in environmental damage indicators (Steinmann et al., 2017), and more than 90% of biodiversity loss and water stress (International Resource Panel, 2019). Moreover, as Van der Voet et al. (2004) demonstrate, while impacts vary by material, and vary as technologies change, there is a coupling between aggregate mass flows and ecological impact. Net flows of material resources from South to North mean that much of the impact of material consumption in the North (43% of it, net of trade) is suffered in the South. The damage is offshored.

Industrial ecologists hold that global extraction and use of materials should not exceed 50 billion tons per year (Bringezu, 2015). In 2015, the global economy was using 87 billion tons per year, overshooting the boundary by 74% and driving ecological breakdown. This overshoot is due almost entirely to excess resource consumption in global North countries. The North consumed 26.71 tons of materials per capita in 2015, which is roughly four times over the sustainable threshold (6.80 tons per capita in 2015). Our results indicate that most of the North’s excess consumption (58% of it) is sustained by net appropriation from the global South; without this appropriation, material use in high-income nations would be much closer to the sustainable level.

In consumption-based terms, the North is responsible for 92% of carbon dioxide emissions in excess of the planetary boundary (350 ppm atmospheric concentration of CO2) (Hickel, 2020), while the consequences harm the South disproportionately, inflicting dramatic social and economic costs (Kikstra et al., 2021b, Srinivasan et al., 2008). The South suffers 82–92% of the costs of climate change, and 98–99% of the deaths associated with climate change (DARA, 2012)

Net appropriation of land means soil depletion, water depletion, and chemical runoff are offshored; net appropriation of energy means that the health impacts of particulate pollution are offshored; net appropriation of labour means that the negative social impacts of exploitation are offshored, etc (Wiedmann and Lenzen, 2018). In the case of non-renewable resources there is also a problem of depletion: resources appropriated from the South are no longer available for future generations to use (Costanza and Daly, 1992, World Bank, 2018), which is particularly problematic given that under conditions of net appropriation economic losses are not offset by investments in capital stock (cf. Hartwick, 1977). Finally, the extractivism that underpins resource appropriation generates social dislocations and conflicts at resource frontiers (Martinez-Alier, 2021).

the value of resources and labour cannot be quantified in dollars, and there is no such thing as a “correct” price.

Prices under capitalism do not reflect value or utility in any objective way. Rather, they reflect, among other things, the (im)balance of power between market agents (capital and labour, core and periphery, lead firms and their suppliers, etc); in other words, they are a political artefact

While prices by definition do not reflect value, they do allow us to compare the scale of drain to prevailing monetary representations of production and income in the world economy.

Fig. 2 shows that drain from the South in 2015 amounted to $14.1 trillion when measured in terms of raw material equivalents, $5.1 trillion when measured in terms of land, $3.6 trillion when measured in terms of energy and $20.3 trillion when measured in terms of labour.

Over the period 1990–2015, the drain sums to $242 trillion (constant 2010 USD). This represents a significant “windfall” for the North, similar to the windfall that was derived from colonial forms of appropriation; i.e., goods that did not have to be produced on the domestic landmass or with domestic labour, and did not have to be bought on the domestic market, or paid for with exports (see Pomeranz, 2000, Patnaik, 2018). While previous studies have shown that the price distortion factor increased dramatically during the structural adjustment period in the 1980’s (Hickel et al., 2021), our data confirms that since the early- to mid-1990’s it has tended to decline slightly. This means that the increase in drain during the period 1990–2007, prior to the global financial crisis, was driven primarily by an increase in the volume of international trade rather than by an increase in price distortion.

Table 3 shows that, over the 1990–2015 period, resources appropriated from the South have been worth on average roughly a quarter of Northern GDP.

the North’s reliance on appropriation from the South has generally increased over the period (despite a significant drop after the global financial crisis), whereas the South’s losses as a share of total economic activity have generally decreased, particularly since 2003, due to an increase in South-South trading and higher domestic GDP creation or capture within the South, both driven largely by China

Aid flows create the powerful impression that rich countries give benevolently to poorer countries. But the data on drain through unequal exchange raises significant questions about this narrative.

net appropriation by DAC countries through unequal exchange from 1990 to 2015 outstripped their aid disbursements over the same period by a factor of almost 80

for every dollar of aid that donors give, they appropriate resources worth 80 dollars through unequal exchange. From the perspective of aid recipients, for every dollar they receive in aid they lose resources worth 30 dollars through drain

The dominant narrative of international development holds that poor countries are poor because of their own internal failings and are therefore in need of assistance. But the empirical evidence on unequal exchange demonstrates that poor countries are poor in large part because they are exploited within the global economy and are therefore in need of justice. These results indicate that combating the deleterious effects of unequal exchange by making the global economy fairer and more equitable would be much more effective, in terms of development, than charity.

In an equitable world, the resource trade deficit that the North sustains in relation to the South would be financed with a parallel monetary trade deficit. But in reality, the monetary trade deficit is very small, equivalent to only about 1% of global trade revenues, and fluctuates between North and South. In effect, this means that the North achieves its large net appropriation of resources and labour from the South gratis.

The question of sectoral disparities has been moot since the 1980s, however, as industrial production has shifted overwhelmingly to the South. The majority of Southern exports (70%) consist of manufactured goods (data from UNCTAD; see Smith, 2016). Of all the manufactured goods that the USA imports, 60% are produced in developing countries. For Japan it is 70%. We can see this pattern reflected also in the industrial workforce. As of 2010, at least 79% of the world’s industrial workers live in the South (data from the ILO; see Smith, 2016). This shift is due in large part to the rise of global commodity chains, which now constitute 70% of international trade. Between 1995 and 2013, there has been an increase of 157 million jobs related to global commodity chains, and an estimated 116 million of them are concentrated in the South, predominantly in the export manufacturing sector (ILO, 2015). In other words, during the period we analyse in this paper (1990–2015), the South has contributed the majority of the world’s industrial production, including high-technology production such as computers and cars. And yet price inequalities remain entrenched.

if Northern states or firms leverage monopoly power within global commodity chains to depress the prices of imports and increase the prices of final products, their labour “productivity” appears to improve, and that of their counterparts declines, even if the underlying production process remains unchanged. Indeed, empirical evidence indicates that real productivity differences between workers are minimal, and cannot explain wage inequalities (Hunter et al., 1990).

wage inequalities exist not because Southern workers are less productive but because they are more intensively exploited, and often subject to rigid systems of labour control and discipline designed to maximize extraction (Suwandi et al., 2019). Indeed, this is a major reason why Northern firms offshore production to the South in the first place: because labour is cheaper per unit of physical output (Goldman, 2012).

the terminology of “value-added” is a misnomer. In international trade, TiVA does not tell us who adds more value but rather who has more power to command prices. And in the case of global commodity chains, TiVA does not indicate where value is produced but rather where it is captured (Smith, 2016).

our analysis reveals that value in global commodity chains is disproportionately produced by the South, but disproportionately captured by the North (as GDP). Value captured in this manner is misleadingly attributed to Northern economic activities

rich countries are able to maintain price inequalities simply by virtue of being rich. This finding supports longstanding claims by political economists that, all else being equal, price inequalities are an artefact of power. Just as in a national economy wage rates are an artefact of the relative bargaining power of labour vis-à-vis capital, so too in international trade prices are an artefact of the relative bargaining power of national economies and corporate actors vis-à-vis their trading partners and suppliers. Countries that grew rich during the colonial period are now able to leverage their economic dominance to depress the costs of labour and resources extracted from the South. In other words, the North “finances” net appropriation from the South not with money, but rather by maintaining the prices of Southern resources and labour below the global average level.

Patents play a key role here: 97% of all patents are held by corporations in high-income countries (Chang, 2008:141)

In some cases, patents involve forcing people in the South to pay for access to resources they might otherwise have obtained much more affordably, or even for free (Shiva, 2001, Shiva, 2016).

In the World Bank and the IMF, Northern states hold a majority of votes (and the US holds a veto), thus giving them control over key economic policy decisions. In the World Trade Organization (which controls tariffs, subsidies, and patents), bargaining power is determined by market size, enabling high-income nations to set trade rules in their own interests.

ubsidized agricultural exports from the North undermine subsistence economies in the South and contribute to dispossession and unemployment, placing downward pressure on wages. Militarized borders preclude easy migration from South to North, thus preventing wage convergence. Moreover, structural adjustment programs (SAPs) imposed by the World Bank and IMF since the 1980s have cut public sector salaries and employment, rolled back labour rights, curtailed unions, and gutted environmental regulations (Khor, 1995, Petras and Veltmeyer, 2002).

SAPs, bilateral free trade agreements, and the World Trade Organization have forced global South governments to remove tariffs, subsidies and other protections for infant industries. This prevents governments from attempting import substitution, which would improve their export prices and drive Northern prices down. Tax evasion and illicit financial flows out of the South (which total more than $1 trillion per year) drain resources that might otherwise be reinvested domestically, or which governments might otherwise use to build national industries. This problem is compounded by external debt service obligations, which drain government revenue and require obeisance to economic policies dictated by creditors (Hickel, 2017). In addition, structural dependence on foreign investors and access to Northern markets forces Southern governments and firms to compete with one another by cutting wages and resource prices in a race to the bottom.

structural power imbalances in the world economy ensure that labour and resources in the South remain cheap and accessible to international capital, while Northern exports enjoy comparatively higher prices

Cheap labour and raw materials in the global South are not “naturally” cheap, as if their cheapness was written in the stars. They are actively cheapened

the analysis obscures class and geographic inequalities within countries and regions, which are significant when it comes to labour prices as well as resource consumption. The high levels of resource consumption that characterize Northern economies are driven disproportionately by rich individuals and affluent areas, as well as by corporations that control supply chains, and enabled by internal patterns of exploitation and unequal exchange in addition to drain through trade (Harvey, 2005). For example, there are marginalized regions of the United States that serve as an “internal periphery” (Wishart, 2014). It would also be useful to explore the gender dynamics of unequal exchange within countries. These questions cannot be answered with our data, however.

This research confirms that the “advanced economies” of the global North rely on a large net appropriation of resources and labour from the global South, extracted through induced price differentials in international trade. By combining insights from the classical literature on unequal exchange with contemporary insights about global commodity chains and new methods for quantifying the physical scale of embodied resource transfers, we are able to develop a novel approach to estimating the scale and value of resource drain from the global South. Our results show that, when measured in Northern prices, the drain amounted to $10.8 trillion in 2015, and $242 trillion over the period from 1990 to 2015 – a significant windfall for the North, equivalent to a quarter of Northern GDP. Meanwhile, the South’s losses through unequal exchange outstrip their total aid receipts over the period by a factor of 30.

support contemporary demands for reparations for ecological debt, as articulated by environmental justice movements and by the G77

True repair requires permanently ending the unequal distribution of environmental goods and burdens between the global North and global South, restoring damaged ecosystems, and shifting to a regenerative economic system.

It is clear that official development assistance is not a meaningful solution to global poverty and inequality; nor is the claim that global South countries need more economic liberalisation and export-oriented market integration. The core problem is that low- and middle-income countries are integrated into the global economy on fundamentally unequal terms. Rectifying this problem is critical to ensuring that global South countries have the financial, physical and human resources they need to improve social outcomes.

democratize the institutions of global economic governance, such as the World Bank, IMF and WTO, so that global South countries have more control over trade and finance policy.

end the North’s use of unfair subsidies for agricultural exports, and remove structural adjustment conditions on international finance, which would help mitigate downward pressure on wages and resource prices in the South while at the same time enabling Southern countries to build sovereign industrial capacity

a global living wage system, and a global system of environmental regulations, would effectively put a floor on labour and resource prices

Reducing North-South price differentials would in turn reduce the scale of the North’s net resource appropriation from the South (in other words, it would reduce ecologically unequal exchange), thus reducing excess consumption in the North and the ecological impacts that it inflicts on the South.

Structural transformation will only be achieved through political struggle from below, including by the anti-colonial and environmental justice movements that continue to fight against imperialism today

“Current global warming is the result of emissions from both the recent and more distant past.”

Operators of the 60 000 to 90 000 oil tankers, bulk carriers, ferries and other huge cargo ships plying the seas are racing to find alternatives to fuel oil as pollution rules are tightened. The industry generates roughly three percent of Earth-warming greenhouse gas emissions worldwide, a figure that experts say could reach 17% by 2050 if nothing is done.

picked by European rocket-maker Ariane Group for a sail-equipped cargo ship to transport parts for its new Ariane 6 launcher to French Guiana starting in 2022.The ship will be equipped with four huge rectangular sails rising 30 metres (100 feet) high, supplementing a motor and cutting fuel consumption by about 30 percent.

Beside sails, some firms have designed huge kites that pull cargo ships, though just a few operators have adopted the system.

Another option is to use “Flettner rotors” like those built by Norsepower of Finland, employing a technology developed by German engineers in the 1920s.The tall columns are installed on a ship and set spinning, creating lift that propels a ship forward when they catch a perpendicular wind.

wind advocates say tighter pollution rules — potentially including more widespread taxes on carbon emissions — will force shipping firms to clean up their act

degrowth has come under severe criticism from pundits, mainstream economists, and the jet-setting Davos elite

austerity is always imposed for the sake of growth. We have been convinced, for half a century now, that cutting public services is good for us because it will increase competitiveness, balance the budget, and eventually lead to growth. Degrowth, by contrast, is the argument that we can, and should, move away from an economy that exclusively depends on economic growth.

While austerity increases inequality by curbing public services and benefitting the rich through tax cuts and privatisation of government services, degrowth policies focus on democratising production, curbing the wealth and overconsumption of the rich, expanding public services, and increasing equality within and between societies.

Recessions make inequality worse, degrowth is about making sure everyone has their needs met. Recessions often cause bold policies for sustainability to be abandoned for the sake of restarting growth, while degrowth is explicitly for a rapid and decisive transformation.

Because profits are based on making labour and nature as cheap as possible, the very basis of profit is always at risk, for example, through labour shortages or supply bottlenecks. Thus, constant economic expansion will also see constant crises.

As argued by Naomi Klein in the book Shock Doctrine, crises are often taken advantage of by the owners of capital because they make it possible to thrash social and ecological legislation, thus lowering the costs of wages and resources, and further generating windfall profits through inflation.

infrastructure projects which will lock in fossil fuel use for decades continue to be built and expanded, while banks, energy companies and multinationals that are involved in polluting and carbon-intensive industries are bailed out with public money and given lucrative government contracts

A recent UN report found that nine out of 10 countries worldwide have fallen behind on life expectancy, education and living standards. For decades, international organisations have promised to fight global inequality and poverty with growth – but the results are anything but promising.

guarantee access to “universal basic services” like housing, food, healthcare, mobility, and childcare to the general population, by taking them out of the market.

Germany’s three-month experiment with a $9 monthly ticket for all regional and city public transport could serve as an example. It not only reduced carbon dioxide emissions by 1.8 million tonnes – equivalent to powering about 350,000 homes for a year – but it also helped mitigate the effects of high inflation rates, increased freedom of mobility for all, and was quite popular with the public.

a 2020 research paper on energy sufficiency found that it is possible to provide a decent life to the entire global population at 40 percent of current energy use, despite population growth until 2050.

reducing the excess energy and resource use of the rich and making designs more efficient within the framework of a truly circular economy have huge potential to reduce demand

many people would likely possess fewer material objects – but most would have access to better services and society would be more sustainable, just, convivial, and fulfilling

Gabon, one of the most forested nations and home to more than half of the remaining critically endangered African forest elephants, is holding one of the largest ever sales of carbon credits, generated by protecting its portion of the Congo basin rainforest, the world’s second largest and the last that sucks in more carbon than it releases.

White said his country, which gets about 60% of its state revenue from oil, accepted that the oil economy would go and that greater emphasis needed to be placed on sustainable forestry and timber.

“Over and over again, developed nations have committed and not delivered. They’ve committed to reduce emissions and they’re not delivering sufficiently. They’ve committed to funding and that funding doesn’t ever seem to materialise. We didn’t create the problem and so you would expect a more sincere engagement from developed nations and you would expect them to respect their word and their engagements,”

“Things like climate change, earthquakes, drought — they are of course realities of our lives,” Durusu-Tanrıöver said. “But there are human actions that can be taken to foresee what will happen and behave accordingly.

In the half-century leading up to empire’s collapse, the scientists found, the rings inside the tree trunks gradually start to get narrower — suggesting that water shortages were limiting the junipers’ growth. Chemical analyses of the kind of carbon captured in the wood also showed how drought altered the trees at the cellular level.

cuneiform tablets from that time in which Hittite officials fretted over rising food prices and asked for grain to be sent to their cities. But Manning said the empire — which was known for its elaborate water infrastructure projects and massive grain silos in major cities — should have been able to survive this “low frequency” drought.

between 1198 and 1196 B.C., the region was struck by three of the driest years in the entire 1,000-year-long tree ring record. The abrupt spurt of intensely dry weather may have been more than the Hittites could bear. Within a generation, the empire had dissolved.

“Very few societies ever plan for more than one or two disasters happening consecutively.”

“But I think it’s naive to believe that three years of drought would bring down the storerooms of the Hittite empire,” Weiss said. He argues that the longer-term drying trend, which has been documented in other studies, was probably more significant.

“What’s a crisis for some becomes almost an opportunity for others,” Manning said. “You have adaptation and resilience in the form of new states and new economies emerging.”

Durusu-Tanrıöver blames an unsustainable economy and centralized political system. The intensive agricultural practices required to support the capital city probably exhausted the region’s water resources and weakened surrounding ecosystems

parallels to modern urban areas, which are both major sources of planet-warming pollution and especially vulnerable to climate change impacts like extreme heat.

since the intergovernmental panel issued its last major report in 2007, far more countries, states and cities have adopted climate plans, a measure of the growing political interest in tackling the problem. They include China and the United States, which are doing more domestically than they have been willing to commit to in international treaty negotiations

the emissions problem is still outrunning the determination to tackle it, with atmospheric carbon dioxide levels rising almost twice as fast in the first decade of this century as they did in the last decades of the 20th century. That reflects a huge rush to use coal-fired power plants in developing countries that are climbing up the income scale, especially China, while rich countries are making only slow progress in cutting their high emissions

It is increasingly clear that measures like tougher building codes and efficiency standards for cars and trucks can save energy and reduce emissions without harming people’s quality of life, the panel found. And the costs of renewable energy like wind and solar power are falling so fast that its deployment on a large scale is becoming practical

if greater efforts to cut emissions are not implemented soon, future generations seeking to limit or reverse climate damage will have to depend on technologies that permanently remove greenhouse gases from the air; in effect, they will be trying to undo the damage caused by the people of today

these technologies do not exist on any appreciable scale, the report said, and there is no guarantee that they will be available in the future, much less that they will be affordable

The new report, dealing with ways to limit the growth of the emissions that are causing climate change, is the third in recent months. A report released in Stockholm in September found a certainty of 95 percent or greater that humans were the main cause of global warming, and a report released in Yokohama, Japan, two weeks ago said profound effects were already being felt around the world, and were likely to get much worse.

the committee described money spent fighting climate change as a form of insurance against the most severe potential consequences

By directly acquiring mines, accumulating equity stakes in natural-resource companies, making long-term agreements to buy mines’ current or future production (known as “off-take agreements”), and investing in new projects under development, Chinese firms traded much-needed capital for outright control or influence over large shares of the global production of these resources. Despite China’s slowing growth and a major pullback in its foreign direct investment in other sectors, the government has maintained robust financial support for resource acquisition; mergers and acquisitions in metals and chemicals hit a record high in 2018.

China lacks significant reserves of three resources vital to its tech ambitions: cobalt, platinum-group metals, and lithium. It has successfully employed two strategies to secure control of them. One is driven by China’s state-owned enterprises (SOEs), which use development finance and infrastructure investment to embed themselves in higher-risk countries, establishing close ties with government leaders. The second is investment by state-linked private firms in market-based economies. Both strategies have shown agility and an ability to effectively adapt to local circumstances to achieve the same end.

Chile is home to 57 percent of the world’s known lithium reserves, the world’s largest known concentration, and SQM controls roughly half the country’s production

DRC is home to nearly two-thirds of the world’s cobalt production and half of its known reserves. Those resources are the prime target of investors for the booming battery industry. Over a decade of steady engagement, China has staked out a dominant position by developing strong political ties and investing in production assets and related infrastructure

China’s SOEs and private firms have made at least eight major equity and off-take plays in platinum-group metals in the Bushveld Complex. Such investments in South Africa’s highly concentrated and strategic resource deposits have helped make metals the country’s leading source of export growth, with nearly 50 percent of its metal exports going to China—tying South Africa’s economic welfare directly to Chinese investment.

the three countries where nearly 90 percent of global lithium production and more than three-quarters of the world’s known lithium reserves are located: Chile, Argentina, and Australia. In just six years, China has come to dominate the global market: More than 59 percent of the world’s lithium resources are now under its control or influence

China now owns or has influence over half of the DRC’s cobalt production, and has a massive stake in its mining industry. Six months ahead of the presidential elections, the event also sent a strong message to candidates about China’s deep investment in copper and cobalt mining—which constitutes 80 percent of the DRC’s export revenue and thousands of jobs—and its capacity to influence the future of the DRC’s economy

Though the final agreement included restrictions on Tianqi’s board and committee participation and its access to SQM’s sensitive data, Tianqi’s equity position still confers considerable influence over SQM.

In a cash-strapped industry, Chinese firms are financing mine expansion and new development in exchange for a guaranteed supply of lithium in both mature and emerging markets. In Argentina, where President Mauricio Macri is eliminating mineral export taxes, reducing corporate tax rates, and allowing profit repatriation, China is establishing a dominant position in the nascent sector with “streaming deals,” which provide development capital in exchange for future lithium yields to help projects get off the ground. Chinese firms, led by Ganfeng, have stakes in 41 percent of the country’s major planned projects that account for 37 percent of Argentina’s reserves. This raw-material strategy is already coming to fruition: Lithium export volumes from Argentina to China rose nearly fourfold from 2015 to 2017, and China has secured access to the country's lithium for the longer term.

This same strategy, combined with asset acquisition, has also been successful in Australia, whose proximity to China, significant lithium reserves, and broad political support for mining investment have attracted Chinese investment. Tianqi and Ganfeng have established stakes in 91 percent of the lithium mining projects underway and 75 percent of the country’s reserves, including some of the world’s largest.

Natural resources are abundant in China; it is the No. 1 producer and processor of at least ten critical minerals and metals that are essential to high-tech industries and upon which China’s commercial and strategic competitors depend. To reinforce its strength, Chinese firms are acquiring mines and output from the next-largest producers and reserves, giving China both an economic edge in the next high-tech industrial revolution and increasing geopolitical power.

Perhaps the best-known example both of China’s natural-resource dominance and its willingness to exploit it is rare-earth elements, a group of 17 elements that (despite their name) are commonly found, but rarely in concentrations that can be economically extracted. They are important materials for the defense, aerospace, electronics, and renewable energy industries. Over the past two decades China has produced more than 80 percent of the world’s production of rare-earth elements and processed chemicals. In 2010 it cut off exports to Japan amid rising tensions over the East China Sea, and the following year it imposed export quotas that threw governments and manufacturers into a panic. But with the exception of Japan, the attention to this critical vulnerability was short-lived, and little action was taken by other countries reliant on imports to diversify their resources or develop minerals action plans of their own.

China declared rare-earth elements a strategic resource in 1990 and prohibited foreign investment in the sector. Six state-owned enterprises control the industry, and the government cut production quotas in 2018 by 36 percent. With global demand for rare-earth elements projected at a compound average growth rate of more than 17 percent to 2025, a supply crunch is likely approaching—and China is already securing other nations’ supplies

While Russia strictly limits foreign participation in rare-earth element development, Chinese firms have accumulated off-take agreements and stakes in rare-earth element mines in Australia and Brazil

in 2017, China’s Shenghe Resources and two U.S. private equity firms acquired the sole U.S. and North American rare-earth element producer and processor, Molycorp, and its idled mining operations at Mountain Pass, California.

In 2016, China’s Yellow Dragon Holdings Ltd. co-invested with Bushveld Minerals, the primary vanadium developer in South Africa’s massive Bushveld Complex, to acquire Strategic Minerals, which owned the Vametco vanadium mine and plant. Yellow Dragon subsequently increased its investment in Bushveld Minerals and has become the fifth-largest shareholder. The holdings deepen China’s influence over South Africa’s vanadium resources and its role in the country’s emerging high-tech sector

China’s position is even stronger in graphite, a crystalline form of the element carbon whose high conductivity makes it a major component in electrodes, batteries, and solar panels, as well as industrial products such as steel and composites. For the last 20 years, China has been the leading global supplier of graphite, representing nearly 70 percent of the world’s production in 2018 and 24 percent of its reserves. While synthetic graphite, which is produced from petroleum coke, is an alternative, unfavorable economics constrain its use

New projects are concentrated in Mozambique, where the world’s largest graphite mine and fourth-largest known reserves are located. Already, Chinese firms have secured off-take agreements with the three major developers in Mozambique for the majority of their graphite production, and they are financing new development.

Japan is 90 percent reliant on China for its graphite

This resource consolidation could determine whether China is able to overcome the last major hurdle to achieving its ambitions: a competitive semiconductor industry.

Semiconductors can be pure elements or compounds and altered with impurities to improve their conductivity. Several materials are now being used to improve speed and performance, including rare-earth elements, graphite, indium, gallium, tantalum, and cadmium. China is the dominant producer of five out of the six, controls more than 75 percent of the world’s supply of three, and is consolidating control over them all

Should China succeed technologically, its capacity to scale production and flood markets (as it has already done with solar panels and wind turbines) has serious implications not only for leading semiconductor producers, but also for national security, if Chinese-manufactured chips are embedded in the devices upon which our data-driven lives, our economies, and our defense systems increasingly depend. While government and industry officials have started to restrict semiconductor sales and scrutinize Chinese acquisition of technology firms—e.g., the United States’ temporary ban on selling semiconductors to ZTE, or the recent flare-up over Huawei —such moves are strengthening China’s resolve to develop its domestic industry. More attention should be paid to its efforts to consolidate critical raw materials and the computing power they confer.

In April, U.S. government officials announced plans to meet with lithium industry leaders and automakers with the intention of developing a national electric-vehicle supply chain strategy. It is a start.

the United States needs a dramatic overhaul to adapt to the global threats of the 21st century, which should include moving away from military engagement and toward international cooperation on issues from peacekeeping to greenhouse gas reduction to global health to banking reform. Such an overhaul should also include cutting the defense budget in half by 2035, and perhaps even getting rid of the Pentagon itself.

one big, underappreciated reason for declining interstate war is that it doesn’t pay. Through most of history, global power and wealth have been determined by control of people, land and resources. Wars were fought over bodies and territory in zero-sum conflicts in which the victor took the spoils. Caesar was considered a Roman hero because he brought as many as 1 million slaves back from his Gallic wars alone. And as late as World War II, physical resources were still a key concern—Japan’s need for oil, Germany’s desire for Lebensraum (“living space”).

The World Bank estimates that nearly two thirds of global wealth is intangible—inventions such as the internal combustion engine or the solar panel that allow people to produce more power with less resources than older technologies, institutions including systems of property rights and education—leaving only around a third to be accounted for by built infrastructure, land and natural resources combined. Only in poorer countries are natural resources a large proportion of total wealth

the technological underpinnings of high productivity, such as the engines and solar panels and property rights, are “non-rival”—we don’t have to fight for them. If I occupy land, you cannot. If I use the technology of the internal combustion engine or double-entry bookkeeping, you can use it at the same time. In fact, if we both use the same technologies, we both benefit even more.

land and resources simply aren’t worth the cost of the fight for successful economies. And that helps to explain why the conflict that remains is increasingly concentrated in poorer countries where natural resources are still relatively important, especially in sub-Saharan Africa

The low returns of war may also help to explain the limited military ambitions of China, which has the world’s second-largest defense budget—about 40 percent the size of America’s. While China clearly wants dominance in the South China Sea, the country has only two aircraft carriers—one of which is a secondhand boat left over from the days of the Soviet Union. It conducts bomber flights in international waters, but the two warships are limited to the same area. And it spends a smaller percentage of its gross domestic product on the military than does the United States: 1.9 percent compared with America’s 3.2 percent. China’s recent success has been built on global connections that have left it the world’s largest trading nation. A world war would tear apart those connections

the United States retains a massive global military advantage, responsible for one out of every three dollars spent on defense worldwide and outspending the countries with the next seven biggest military budgets combined. But while that ensures dominance at confrontation on the battlefield, it is not so useful for the kind of conflicts the world still fights, dominated by guerrilla warfare. That is demonstrated by America’s not-winning streak over the past seven decades in civil conflict: Korea, Vietnam, Afghanistan and Iraq. The “Global War on Terror” drags on; the two countries suffering the most terror attacks in the world are also the two countries the United States has invaded in the past 20 years.

This low efficacy of the Department of Defense is primarily because the military is limited in its ability to keep the peace in countries where much of the population doesn’t want it there at a cost in lives, finance and time that is acceptable to U.S. voters and lawmakers.

Rising productivity has increased carbon emissions and other pressures on global sustainability. Connectivity leaves people worldwide more exposed to threats from elsewhere including viruses real and virtual alongside financial contagion. These new national security challenges require a collective response: We can’t bomb our way out of climate change or financial crises—we have to cooperate through international organizations, agreements and the shared financial incentives for signing on to them.

The total number of people working in the Department of Defense itself (none of whom are in the field actually defending or deterring war) climbed from 140,000 in 2002 to just shy of 200,000 in 2012. Nearly three-quarters of a million civilian federal employees work for the Defense Department—add in the Department of Veterans Affairs and that’s about half of the total civilian federal workforce

an institution that was recently declared simply unauditable due to complexity, failed systems and missing records—this after a $400 million effort involving over 1,200 auditors

Retired Lieutenant General David Barno and colleagues from the Center for a New American Security have listed seven “deadly sins” of defense spending in a recent report, ranging from redundant overhead through inefficient procurement systems to excess infrastructure to a bloated retirement system that could generate annual savings of $49 billion if rectified. If that sounds too large to be plausible, in 2015, the Department of Defense itself reported administrative waste and excess bureaucracy cost the institution an annual $25 billion.

A budget cut to 1.5 times the military spending of our nearest competitor (China) would free up about $150 billion of the current $649 billion in U.S. spending (as reported by the World Bank). Taking $100 billion of that and adding it to the U.S. overseas development assistance budget would also bring the U.S. aid ratio up to 0.7 percent of gross national Income—the U.N. target.

over 10 years, the United States could move toward 2 percent of GDP going to defense, down from today’s 3.2 percent—that’s the target set for NATO as a whole back in 2006. And perhaps in 15 years, U.S. military spending could reach the current global median: 1.5 percent of GDP

Each American citizen—man, woman and child—currently pays an average of $1,983 a year to the Department of Defense. Over an average lifetime, that adds up to $156,000 per person. It is a simply incredible sum for a country at zero risk of invasion and with a reasonable aversion to violent territorial expansion