This is the story of a powerful historical pathway of structural transformation that is experienced by all successful developing countries; of highly important and diverse approaches to coping with the political pressures generated along that pathway; and of policy mechanisms available to keep the poor from falling off the pathway altogether.  This structural transformation involves four main features: a falling share of agriculture in economic output and employment, a rising share of urban economic activity in industry and modern services, migration of rural workers to urban settings, and a demographic transition in birth and death rates that always leads to a spurt in population growth before a new equilibrium is reached.

At one level, the story is easy to tell because the statistical picture presented, both graphically and econometrically, is, well, telling.  In their broad sweep and relevance, these are very robust results that have very deep historical roots.  Challenging them is like challenging the tides.

At another level, the complexity of national diversity asserts itself in very important ways.  This finding does not alter the pathways themselves, but rather their consequences for income distribution and the gap in labor productivity between urban and rural economies.  We learn a lot about the possibilities for narrowing this gap during the process of structural transformation by comparing the historical experience of rapidly growing Asia with the rest of the world.  Individual country experience is revealing as well.  The stress placed on this productivity gap, how it changes during the structural transformation, and potential policy interventions to narrow it, is the major contribution of this monograph.

Making sure the poor are connected to both the structural transformation and to the policy initiatives designed to ameliorate the distributional consequences of rapid transformation has turned out to be a major challenge for policy makers over the past half century.  There are successes and failures, and the historical record illuminates what works and what does not.  Trying to stop the structural transformation does not work, at least for the poor.  Investing in the capacity of the poor to cope with change and to participate in its benefits through better education and health does seem to work.  Such investments typically require significant public sector resources and policy support, and thus depend on political processes that are themselves conditioned by the pressures generated by the structural transformation.

This paper provides an original account of global land, water and nitrogen use in support of industrialized livestock production and trade, with emphasis on two of the fastest growing sectors, pork and poultry. Our analysis focuses on trade in feed and animal products, using a new model that calculates the amount of "virtual" nitrogen, water and land used in production but not embedded in the product. We show how key meat importing countries, such as Japan, benefit from "virtual" trade in land, water and nitrogen, and how key meat exporting countries, such as Brazil, provide these resources without accounting for their true environmental cost. Results show that Japan's pig and chicken meat imports embody the virtual equivalent of 50% of Japan's total arable land, and half of Japan's virtual nitrogen total is lost in the US. Trade links with China are responsible for 15% of the virtual nitrogen left behind in Brazil due to feed and meat exports, and 20% of Brazil's area is used to grow soybean exports. The complexity of trade in meat, feed, water and nitrogen, is illustrated by the dual roles of the US and the Netherlands as both importers and exporters of meat. Mitigating environmental damage from industrialized livestock production and trade depends on a combination of direct pricing strategies, regulatory approaches and use of best management practices. Our analysis indicates that increased water and nitrogen use efficiency and land conservation resulting from these measures could significantly reduce resource costs.

Climate change, as an environmental hazard operating at the global scale, poses a unique and "involuntary exposure" to many societies, and therefore represents possibly the largest health inequity of our time. According to statistics from the World Health Organization (WHO), regions or populations already experiencing the most increase in diseases attributable to temperature rise in the past 30 years ironically contain those populations least responsible for causing greenhouse gas warming of the planet. Average global carbon emissions approximate one metric ton per year (tC/yr) per person. In 2004, United States per capita emissions neared 6 tC/yr (with Canada and Australia not far behind), and Japan and Western European countries range from 2 to 5 tC/yr per capita. Yet developing countries' per capita emissions approximate 0.6 tC/yr, and more than 50 countries are below 0.2 tC/yr (or 30-fold less than an average American). This imbalance between populations suffering from an increase in climate-sensitive diseases versus those nations producing greenhouse gases that cause global warming can be quantified using a "natural debt" index, which is the cumulative depleted CO2 emissions per capita. This is a better representation of the responsibility for current warming than a single year's emissions. By this measure, for example, the relative responsibilities of the U.S. in relation to those of India or China is nearly double that using an index of current emissions, although it does not greatly change the relationship between India and China. Rich countries like the U.S. have caused much more of today's warming than poor ones, which have not been emitting at significant levels for many years yet, no matter what current emissions indicate. Along with taking necessary measures to reduce the extent of global warming and the associated impacts, society also needs to pursue equitable solutions that first protect the most vulnerable population groups; be they defined by demographics, income, or location. For example, according to the WHO, 88% of the disease burden attributable to climate change afflicts children under age 5 (obviously an innocent and "nonconsenting" segment of the population), presenting another major axis of inequity. Not only is the health burden from climate change itself greatest among the world's poor, but some of the major mitigation approaches to reduce the degree of warming may produce negative side effects disproportionately among the poor, for example, competition for land from biofuels creating pressure on food prices. Of course, in today's globalized world, eventually all nations will share some risk, but underserved populations will suffer first and most strongly from climate change. Moreover, growing recognition that society faces a nonlinear and potentially irreversible threat has deep ethical implications about humanity's stewardship of the planet that affect both rich and poor.

The integration of the agricultural and energy sectors caused by rapid growth in the biofuels market signals a new era in food policy and sustainable development. For the first time in decades, agricultural commodity markets could experience a sustained increase in prices, breaking the long-term price decline that has benefited food consumers worldwide. Whether this transition occurs, and how it will affect global hunger and poverty, remain to be seen. Will food markets begin to track the volatile energy market in terms of price and availability? Will changes in agricultural commodity markets benefit net food producers and raise farm incomes in poor countries? How will biofuels-induced changes in agricultural commodity markets affect net consumers of food? At risk are over 800 million food-insecure people, mostly in rural areas and dependant to some extent on agriculture for incomes, who live on less than $1 per day and spend the majority of their incomes on food. An additional 2 to 2.5 billion people living on $1 to $2 per day are also at risk, as rising commodity prices could pull them swiftly into a food-insecure state.