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When consumption heals producers: the effect of fair trade on marginalised producers’ health and productivity

Author

Listed:
  • Leonardo Becchetti

    () (University of Tor Vergata)

  • Giuseppina Gianfreda

    (University of Viterbo)

Abstract

Concerned consumers in the US and Europe are increasingly willing to pay an “ethical premium” for the social and environmental value of fair trade products. One of the fair trade criteria (aimed to enhance wellbeing and capacity building of marginalised producers) relates to producers health and creation of healthy working conditions. We evaluate its significance by comparing days lost for illness of FT and non FT affiliated Kenyan farmers. We find that FT affiliation years have a significant effect in the expected direction on the dependent variable after controlling for selection bias effects.

Suggested Citation

  • Leonardo Becchetti & Giuseppina Gianfreda, 2008. "When consumption heals producers: the effect of fair trade on marginalised producers’ health and productivity," Working Papers 86, ECINEQ, Society for the Study of Economic Inequality.
  • Handle: RePEc:inq:inqwps:ecineq2008-86
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    File URL: http://www.ecineq.org/milano/WP/ECINEQ2008-86.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Fair trade; health; impact study;

    JEL classification:

    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations
    • O22 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Project Analysis
    • D64 - Microeconomics - - Welfare Economics - - - Altruism; Philanthropy; Intergenerational Transfers
    • I1 - Health, Education, and Welfare - - Health

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