Hostname: page-component-586b7cd67f-r5fsc Total loading time: 0 Render date: 2024-11-25T06:17:32.811Z Has data issue: false hasContentIssue false

Do Canadian Mining Firms Behave Worse Than Other Companies? Quantitative Evidence from Latin America

Published online by Cambridge University Press:  23 April 2018

Paul Alexander Haslam*
Affiliation:
University of Ottawa
Nasser Ary Tanimoune*
Affiliation:
University of Ottawa
Zarlasht M. Razeq*
Affiliation:
McGill University
*
School of International Development and Global Studies, FSS Building, Office 8039, 120 University Private, University of Ottawa, Ottawa ON K1N 6N5, email: [email protected]
School of International Development and Global Studies, FSS Building, Office 8024, 120 University Private, University of Ottawa, Ottawa ON K1N 6N5, email: [email protected]
Department of Political Science, McGill University, Leacock Building, Room 414, 855 Sherbrooke Street West, Montreal, Quebec, H3A 2T7, email: [email protected]

Abstract

The effects of Canadian mining companies on local communities abroad is an increasingly contentious topic as activists and academics, citing case studies, have drawn attention to alleged problems. Despite the policy relevance of this issue, there have been no generalizable analyses of whether mining companies headquartered in Canada behave differently from mining firms headquartered in other countries. This paper conducts the first rigorous statistical analysis of the effect of country of origin, or more specifically, “being Canadian,” on the occurrence of known social conflicts in Latin America. We use an original database of 634 mining properties in five Latin American countries, which allows us to differentiate between a country-of-origin effect and other probable determinants of social conflict in communities near mining properties. We find that Canadian mining firms perform slightly better than other foreign firms, but worse than locally owned firms.

Résumé

Les effets des sociétés minières canadiennes sur les collectivités locales à l'étranger sont un sujet de plus en plus controversé, car les activistes et les universitaires, études de cas à l'appui, ont attiré l'attention sur les problèmes allégués. Malgré la pertinence de cette question sur le plan politique, aucune analyse généralisable n'a encore permis de déterminer si les sociétés minières ayant leur siège social au Canada se comportent différemment des sociétés minières basées dans d'autres pays. Le présent article effectue la première analyse statistique rigoureuse de l'effet du pays d'origine, ou plus précisément, de ce que signifie « être Canadien » sur l'occurrence de conflits sociaux connus en Amérique latine. Nous utilisons une base de données originale de 634 propriétés minières dans cinq pays d'Amérique latine, ce qui nous permet de faire la distinction entre l'effet d'un pays d'origine et d'autres déterminants probables de conflits sociaux dans les collectivités limitrophes des propriétés minières. Nous constatons que les sociétés minières canadiennes se comportent légèrement mieux que d'autres sociétés étrangères, mais pire que des sociétés minières locales.

Type
Research Article/Étude originale
Copyright
Copyright © Canadian Political Science Association (l'Association canadienne de science politique) and/et la Société québécoise de science politique 2018 

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

Footnotes

This research project was funded by the Social Sciences and Humanities Research Council (SSHRC) of Canada, Grant # 410-2009-0950.

References

Above Ground. 2017. “Transnational Lawsuits in Canada against Extractive Companies” (August 22). Ottawa. aboveground.ngo/wp-content/uploads/2016/02/Cases_Aug2017.pdf (Sept. 3, 2017).Google Scholar
Amengual, Matthew. 2018. “Buying Stability: The Distributive Outcomes of Firm Responses to Risk in the Bolivian Mining Industry.” World Development 104: 3145.Google Scholar
Arellano-Yanguas, Javier. 2011. “Aggravating the Resource Curse: Decentralization, Mining and Conflict in Peru.” The Journal of Development Studies 47 (4): 617–38.Google Scholar
Bebbington, Anthony, Bury, Jeffrey and Gallagher, Emily. 2013. “Conclusions.” In Subterranean Struggles: New Dynamics of Mining, Oil and Gas in Latin America, ed. Bebbington, Anthony and Bury, Jeffrey. Austin: University of Texas Press.Google Scholar
Bebbington, Anthony, Humphreys Bebbington, Denise, Bury, Jeffrey, Lingan, Jeannet, Pablo Muñoz, Juan and Scurrah, Martin. 2008. “Mining and Social Movements: Struggles over Livelihood and Rural Territorial Development in the Andes.” World Development 36 (12): 28882905.Google Scholar
Bright, Eddie, Coleman, Phil, King, Amy and Rose, Amy. 2007. LandScan Oak Ridge: Oak Ridge National Laboratory. (Aug., 2011).Google Scholar
CCSRC (Canadian Centre for the Study of Resource Conflict). 2009. “Corporate Social Responsibility: Movements and Footprints of Canadian Mining and Exploration Firms in the Developing World.” Revelstoke B.C.Google Scholar
Canel, Eduardo, Idemudia, Uwafiokun and North, Liisa. 2010. “Rethinking Extractive Industry: Regulation, Dispossession, and Emerging Claims.” Canadian Journal of Development Studies 30 (1–2): 125.Google Scholar
Clark, Timothy D. and North, Liisa. 2006. “Mining and Oil in Latin America: Lessons from the Past, Issues for the Future.” In Community Rights and Corporate Responsibility: Canadian Mining and Oil Companies in Latin America, ed. North, Liisa, Clark, Timothy D. and Patroni, Viviana. Toronto: Between the Lines Press: 203221.Google Scholar
CNCA (Canadian Network on Corporate Accountability). 2007. Dirty Business, Dirty Practices: How the Federal Government Supports Canadian Mining, Oil and Gas Companies Abroad. Ottawa: Halifax Initiative.Google Scholar
Conde, Martha and Le Billon, Philippe. 2017. Why do some communities resist mining projects while others do not? Extractive Industries and Society 4 (3): 681–97.Google Scholar
Coumans, Catherine. 2010. “Alternative Accountability Mechanisms and Mining: The Problems of Effective Impunity, Human Rights, and Agency.” Canadian Journal of Development Studies 30 (1–2): 2748.Google Scholar
Dashwood, Hevina S. 2007. “Canadian Mining Companies and Corporate Social Responsibility: Weighing the Impact of Global Norms.” Canadian Journal of Political Science 40 (1): 129–56.Google Scholar
de Jong, Wil, Ruiz, Sergio and Becker, Michel. 2006. “Conflicts and communal forest management in northern Bolivia.” Forest Policy and Economics 8 (4): 447–57.Google Scholar
Deneault, Alain and Sacher, William. 2012. Imperial Canada: Legal Haven of Choice for the World's Mining Industries. Vancouver: Talon Books.Google Scholar
Deonandan, Kalowatie and Tatham, Rebecca. 2016. “The Unexplored Dimensions of Resistance to Extractivism in Latin America: The Role of Women.” In Mining in Latin America: Critical Approaches to the New Extraction, ed. Deonandan, Kalowatie and Dougherty, Michael L.. Milton Park UK: Routledge: 273–83.Google Scholar
Dougherty, Michael. L. 2011. “The Global Gold Mining Industry, Junior Firms, and Civil Society Resistance in Guatemala.” Bulletin of Latin American Research 30 (4): 403–18.Google Scholar
DPLF (Due Process Law Foundation). 2014. “The Impact of Canadian Mining in Latin America and Canada's Responsibility: Executive Summary of the Report submitted to the Inter-American Commission on Human Rights.” Washington DC: Working Group on Mining and Human Rights in Latin America, Due Process of Law Foundation. (April, 2013).Google Scholar
Earl, Jennifer, Martin, Andrew, McCarthy, John D and Soule, Sarah A., 2004. “The Use of Newspaper Data in the Study of Collective Action.” Annual Review of Sociology 30: 6580.Google Scholar
ESA (European Space Agency) and POSTEL (Pôle d'Observation des Surfaces Terrestres aux Echelles Large). 2008. European Space agency Globcover Project, led by MEDIAS-France/ POSTEL (August, 2011).Google Scholar
Ferner, Anthony. 1997. “Country of origin effects and HRM in multinational companies.” Human Resource Management Journal 7(1): 1937.Google Scholar
GADM. 2012. GADM database of Global Administrative Areas, version 2.0. (July, 2012).Google Scholar
Galeano, Eduardo. 1997. Open Veins of Latin America: Five Centuries of the Pillage of a Continent. New York: New York University Press.Google Scholar
Garrod, J.Z. and Macdonald, Laura. 2016. “Rethinking ‘Canadian mining imperialism’ in Latin America.” In Mining in Latin America: Critical Approaches to the New Extraction, ed. Deonandan, Kalowatie and Dougherty, Michael L. Milton Park UK: Routledge: 100–15.Google Scholar
Gjǿlberg, Maria. 2009. “Measuring the immeasurable? Constructing an index of CSR practices and CSR performance in 20 countries.” Scandinavian Journal of Management 25: 1022.Google Scholar
Grayson, Kyle. 2006. “Promoting Responsibility and Accountability: Human Security and Canadian Corporate Conduct.” International Journal 61 (2): 479–94.Google Scholar
Greene, William H. 2011. Econometric Analysis. 7th ed. Upper Saddle River, NJ: Prentice Hall.Google Scholar
Haslam, Paul Alexander. 2016. “Overcoming the Resource Curse: Reform and the Rentier State in Argentina and Chile, 1973–2000.” Development & Change 47 (5): 1146–70.Google Scholar
Haslam, Paul Alexander and Tanimoune, Nasser Ary, 2016. “The Determinants of Social Conflict in the Latin American Mining Sector: New Evidence with Quantitative Data.” World Development 79: 401–19.Google Scholar
Haslam, Paul Alexander and Heidrich, Pablo. 2016. “From Neoliberalism to Resource Nationalism: States, Firms and Development.” In The Political Economy of Resources and Development: From Neoliberalism to Resource Nationalism, eds. Alexander Haslam, Paul and Heidrich, Pablo. Milton Park UK: Routledge.Google Scholar
Heidrich, Pablo and Ortiz Loaiza, Paola. 2016. “Canadian Capital, Mining Taxation and the Return of Some (Strong) States.” In Mining in Latin America: Critical Approaches to the New Extraction, ed. Deonandan, Kalowatie and Dougherty, Michael L.. Milton Park UK: Routledge: 116–37.Google Scholar
Hijmans, Robert, Cameron, Susan, Parra, Juan, Jones, Peter and Jarvis, Andy. 2000. “Current altitude and monthly precipitation global layers.” WorldClim version 1. (July, 2012).Google Scholar
Humphreys, Macartan. 2005. “Natural Resources, Conflict, and Conflict Resolution: Uncovering the Mechanisms.” Journal of Conflict Resolution 49 (4): 508–37.Google Scholar
Imai, Shin. 2017. “The ‘Canada Brand’: Violence and Canadian Mining Companies in Latin America.” Research paper no. 17. Legal Studies Research Paper Series, 13 (4). Osgoode Hall Law School. (September, 2017) or (Dec. 20, 2017).Google Scholar
Karunananthan, Meera. 2013. “UN must challenge Canada's complicity in mining's human right abuses.” The Guardian. April 24. (Dec. 20, 2017).Google Scholar
Keenan, Karyn. 2013. “Desperately Seeking Sanction: Canadian Extractive Companies and Their Public Partners.” Canadian Journal of Development Studies 34 (1): 111–21.Google Scholar
Knudsen, Jette Steen, Moon, Jeremy and Slager, Rienke. 2015. “Government Policies for Corporate Social Responsibility in Europe: A Comparative Analysis of Institutionalization.” Policy & Politics 43(1): 8199.Google Scholar
Kolk, Ans, van Tulder, Rob and Welters, Carlijn. 1999. “International codes of conduct and corporate social responsibility: Can Transnational corporations regulate themselves?Transnational Corporations 8 (1): 143–80.Google Scholar
Kriesi, Hanspeter, Koopmans, Ruud, Duyvendak, Jan Willem and Giugni, Marco G. 1995. New Social Movements in Western Europe: A Comparative Analysis. Minneapolis: University of Minnesota Press.Google Scholar
Le Billon, Philippe 2001. “The political ecology of war: natural resources and armed conflicts.” Political Geography 20 (5): 561–84.Google Scholar
Maignan, Isabelle and Ferrell, O.C.. 2000. “Measuring Corporate Citizenship in Two Countries: The Case of the United States and France.” Journal of Business Ethics 23: 283–97.Google Scholar
Matten, Dirk, and Moon, Jeremy. 2008. “’Implicit’ and ‘Explicit’ CSR: A Conceptual Framework for A Comparative Understanding of Corporate Social Responsibility.” Academy of Management Review 33 (2): 404–24.Google Scholar
McDonell, Emma. 2015. “The co-constitution of neoliberalism, extractive industries, and indigeneity: Anti-mining protests in Puno, Peru.” The Extractive Industries and Society 2 (1): 112–23.Google Scholar
Mining Watch. 2010. “Suppressed Report Confirms International Violations by Canadian Mining Companies.” News release, October 18. Ottawa: Mining Watch. (Jan. 15, 2018).Google Scholar
North, Liisa L. and Young, Laura. 2013. “Generating rights for communities harmed by mining: legal and other action.” Canadian Journal of Development Studies 34 (1): 96110.Google Scholar
NRCAN (Natural Resources Canada). Strategic Outreach and Partnerships Division. 2013. Corporate Social Responsibility Research Initiative. Final report. Ottawa: Government of Canada.Google Scholar
Pauly, Louis and Reich, Simon. 1997. “National structures and multinational corporate behaviour: enduring differences in the age of globalization.” International Organization 51 (1): 130.Google Scholar
Porter, Michael. 1990. “The Competitive Advantage of Nations.” Harvard Business Review (March-April): 7393.Google Scholar
Quan, Douglas. 2017. “’New era’: Canadian mining industry closely watching three civil cases alleging human rights abuses.” National Post (Toronto), November 27. (Dec. 20, 2017).Google Scholar
Seck, Sara L. 2008. “Home State Responsibility and Local Communities: The Case of Global Mining.” Yale Human Rights & Development Law Journal 11: 177206.Google Scholar
Sneddon, Chris. 2002. “Water Conflicts and River Basins: The Contradictions of Co-management and Scale in Northeast Thailand.” Society & Natural Resources 15 (8): 725–41.Google Scholar
Tarrow, Sydney. 2008. Power in Movement: Social Movements and Contentious Politics. 2nd ed. Cambridge: Cambridge University Press.Google Scholar
Tilley, Charles. 2008. Contentious Performances. Cambridge: Cambridge University Press.Google Scholar
Turner, Matthew D. 2004. “Political ecology and the moral dimensions of ‘resource conflicts’: the case of farmer–herder conflicts in the Sahel.” Political Geography 23 (7): 863–89.Google Scholar
Urkidi, Leire and Walter, Mariana. 2011. “Dimensions of environmental justice in anti-gold mining movements in Latin America.” Geoforum 42: 683–95.Google Scholar
Veltmeyer, Henry. 2013. “The Political Economy of Natural Resource Extraction: A New Model or Extractive Imperialism.” Canadian Journal of Development Studies 34 (1): 7995.Google Scholar
Webb, Kernaghan. 2012. “Multi-level corporate responsibility and the mining sector: Learning from the Canadian experience in Latin America.” Business and Politics 14 (3): 142.Google Scholar
Weitzner, Vivianne. 2010. “Indigenous Participation in Multipartite Dialogues on Extractives: What Lessons Can Canada and Others Share?Canadian Journal of Development Studies 30 (1–2): 87109.Google Scholar
Whittington, Les. 2010. “Canadian mining firms worst for environment, rights: Report.” Toronto Star, October 19. (Dec. 20, 2017).Google Scholar
Woodside, Claire. 2009. Lifting the Veil: Exploring the Transparency of Canadian Companies. Ottawa: Publish What You Pay Canada.Google Scholar
Supplementary material: File

Haslam et al. supplementary material 1

Online Appendix

Download Haslam et al. supplementary material 1(File)
File 71.5 KB