Policy_Brief_5_Fair_Trade - Journal questioning the...

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EEP 151/Econ 171 Economic Development Fall 2007 Policy Brief #5 Can Fair Trade help development? Due at the beginning of class, Thursday November 29 You can see Fair Traded (FT) coffee when you go to Safeway, Andronico, or other  supermarkets, as well as to Starbucks, Peet’s, and most local coffee shops. Make sure that  you do this. Carefully inspect labels to see what FT claims to be. If you have a chance,  interview the coffee shop or store manager to learn why their consumers buy FT coffee. Is  Fair Trade an effective way of using trade for development?  Is Fair Trade sound  economics? You are asked to provide a judgment based on good analysis. Look at the following articles. The first is from Transfair that defines Fair Trade. The  second is a recent NYT article that supports the idea of FT. The third is from the Cato 
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Unformatted text preview: Journal questioning the validity of FT. In a first paragraph, explain what is meant by "Fair Trade" and how it differs from free trade. In a second paragraph, take the positive side, and explain how FT can help increase the welfare of poor producers. In a third paragraph, take the cautionary side, and question the value and soundness of the FT approach. In your conclusion, give your view about FT as a potential tool for development. Recall to give a title to your Policy Brief that conveys your punchline. References http://transfairusa.org/content/certification/overview.php (Definitions) http://www.nytimes.com/2007/10/02/business/worldbusiness/02trade.html (Supportive of Fair Trade) http://www.cato.org/pubs/journal/cj27n1/cj27n1-9.pdf (Critical of Fair Trade))...
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Policy_Brief_5_Fair_Trade - Journal questioning the...

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