What are negative effects of fair trade?

Answer 1

There is no such thing as "fair trade". There is only free trade and politician controlled trade. Politicians do what is in their best interest to maintain power. I can't think of anything more negative than having politicians in control.

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Answer 2

There aren't alot of problems with fair trade, but this is one I can think of.

Lets say you own a country, and I own a country, your countries name can be... John, mine can be Bill. If the country of john has a minimum wage of $15 an hour, but the country of Bill does not, The people in John, can be paid $15 an hour to make shoes, but the people of Bill can be paid $0.15 an hour to make shoes. So the shoes in Bill are fair less expensive, effectivly running the shoe business of John out of business. Which shoes would you rather buy? $4.50 or $45.00? Thus fair trade has run your shoe store outa business, while my poor children live happily on $0.15 an hour. Sorta like, China and the United States.

Answer 3

Fair trade is often contrasted with free trade. It is just another expression for 'protectionism'. There is plenty of material available on the web on why protectionism is bad, not least because it makes people in developing countries worse off and prevents them from developing.

Answer 4

Fair trade often involves shipping goods from 3rd world countries, so I suppose there would be added pollution from transportation. But that would assume fair trade goods are displacing locally-made items.

Answer 5

Not too much but exploiting third world countrie to do so isn't right.

Answer 6

greedy people makes less.