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Agriculture: profitability determines land use | Chapter 3 of A Perfect Storm in the Amazon

Highway infrastructure initiates the deforestation process, but it is almost always accompanied by some sort of agricultural activity. Depending upon circumstances, deforestation can proceed rapidly or slowly, lead to large or small forest clearings, and create forest remnants of different sizes and configurations. Agricultural production models vary from huge ranches and plantations spanning tens of […]

Sustainable infrastructure in the Pan Amazon: In search of an oxymoron

The macroeconomic hypothesis that infrastructure investments stimulate economic growth assumes that these physical assets overcome a logistical or systemic constraint on production. In practice, this requires for individual projects to be the subject to an objective feasibility analysis, are priced fairly, and have been approved after the full evaluation of their social and environmental impacts. […]

Investing in the Pan Amazon: How China s investment operates

The increasing presence of Chinese companies in South America has become an issue of concern among social and political analysts. Security specialists argue they are a geopolitical threat to the interests of the United States and other Western nations, while supporting authoritarian governments that undermine democratic traditions. Environmental advocates attest that companies from China are […]

Infrastructure in the Pan Amazon: Public-private partnerships

The concessionaire system in Peru is managed by the Organismo Supervisor de la Inversión en Infraestructura de Transporte de Uso Público (OSITRAN), which oversees investments in transportation infrastructure, while the electrical system is administered by the Organismo Supervisor de la Inversión en Energia y Minería (OSINERGMIN). Both of these regulatory agencies supervise joint ventures that […]

Infrastructure in the Pan Amazon - Finance: What is new and what is not

In spite of the ongoing build-out of infrastructure in Latin America, investment remains well below what most economists think the region needs to spur economic growth and reduce poverty. This includes assets not only within the Pan Amazon, but more importantly, in regions with larger populations and greater economic activity. A brief visit to any […]

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