Home
/
RELIGION & LIBERTY ONLINE
/
Fair Trade: Rhetoric and Reality
Fair Trade: Rhetoric and Reality
Mar 30, 2026 5:11 AM

The NYT Freakonomics blog notes that the Fair Trade movement does not exist independently of the laws of economics:

But the problem with Fair Trade coffee is that as the program scales up, the alternative market ethics it wants to sustain collapse. Inevitably, the Fair Trade market es subject to the same laws that drive the modities market. When the price of coffee drops, the appeal of Fair Trade’s price support lures growers into the cooperatives that sell coffee under the Fair Trade label. As poor growers rush into Fair Trade agreements, the supply of Fair Trade coffee rises. Protected by the price floor, the Fair Trade coffee remains inflated despite flagging demand. What Fair Trade importers thus end up doing with the excess Fair Trade coffee is dumping it—upwards of 75 percent of it!—on the conventional market.

This is a huge problem for Fair Trade. Essentially, to be successful, it must, as I have stated in the past, “argue for plete standardization of its price-fixing methods.”

This gets at the paradox of religious support for Fair Trade. It makes those who argue so vociferously against “consumption” as an evil, something that feeds the Big Ag “devil” (to use the Freakonomics blog’s terminology), instead rather promote and endorse consumerism of another kind: Fair Trade consumerism.

That’s how you get to the point of mainline denominations pushing Fair modities (like coffee) in the church narthex and small groups, like moneychangers in the temple courtyard.

The Freakonomics post is lengthy and worthy of attention. But for a prehensive discussion of Fair Trade, be sure to check out the new monograph in the Studies in Christian Social Ethics and Economics series, Fair Trade? Its Prospects as a Poverty Solution.

In this book, Henderson State University economics professor Victor Claar examines the case of coffee in particular, and relates that in his

past place of worship, dedicated parishioners freely gave of their time and talents throughout the year to serve the retailing, advertising, and distribution efforts of Equal Exchange. Those parishioners who had taken on the ministry of fair trade coffee advertised frequently in the weekly bulletin and monthly newsletter—at no charge, of course. They also operated a coffee cart that was open for business between and after Sunday services, and they took great care to stock up on extra-special goodies in anticipation of gift-giving occasions such as Christmas and Valentine’s Day. They carefully maintained their inventory on hand, placing

orders with Equal Exchange when stocks were getting low. Of course, Equal Exchange was the only coffee served during coffee hour, where an Equal Exchange sign was prominently displayed to remind everyone that ours was a congregation that cared about the poor.

Claar concludes presciently: “In any other setting but a church, the message would be clear: If you enjoyed today’s free sample, be sure to pick some up on your way out to savor at home all week long.”

Order your copy of Fair Trade? Its Prospects as a Poverty Solution today.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
Cuba loosens restrictions on private businesses to battle COVID-19
Over the past decade, Cuba’s private sector has experienced slow-but-steady growth thanks to a mix of entrepreneurial grit and incremental policy changes. Although the Communist government continues to waffle on the scope and duration of various restrictions, the number of self-employed Cubans has risen from 150,000 to 600,000 since 2010 – that is, until the outbreak of the global health pandemic. COVID-19 has brought new challenges to the Cuban economy. Declines in travel and tourism have meant merce and less...
Herman Cain, RIP
Herman Cain, the 2012 Republican presidential hopeful and former CEO of Godfather’s Pizza, passed away early Thursday morning at the age of 74. During his meteoric rise from poverty to the heights of the business world, Cain shared his faith in Christ, free markets, and the American dream. A former cancer survivor, he was hospitalized on July 1 plications from COVID-19. He leaves behind his wife, the former Gloria Etchison, and two children: Melanie and Vincent. Cain was born on...
Reviving Native American economies through dignity, property, and personhood
“Let me be a free man – free to travel, free to stop, free to work, free to trade where I choose, free to choose my own teachers, free to follow the religion of my fathers, free to talk, think and act for myself – and I will obey every law or submit to the penalty.” – Chief Joseph, Lincoln Hall Speech, 1879. America prides itself on a distinctive legacy of freedom and justice. Yet despite our nation’s many enduring...
Pro-democracy media entrepreneur Jimmy Lai arrested in Hong Kong
Hong Kong-based media entrepreneur and pro-democracy activist Jimmy Lai was arrested by police in Hong Kong on the morning of Monday, August 10. Lai has been charged with “collusion with foreign powers,” according to Next Digital executive and Lai’s aide Mark Simon. Rev. Robert Sirico, president and co-founder of the Acton Institute, has released the follow statement on the incident: As expected, Hong Kong media entrepreneur and pro-democracy activist Jimmy Lai was arrested Monday morning by police in Hong Kong...
What’s behind the Beirut explosion? Corruption ‘greater than the state’
On Monday, the Lebanese government resigned. Public pressure on the government had been relentless in the wake of two devastating explosions on the afternoon of August 4 at the port in the nation’s capital city, Beirut. The explosions caused at least 220 deaths, 7,000 injuries, billions in property damage, and have left hundreds of thousands homeless. These explosions were caused by the ignition of 2,750 tons of ammonium nitrate stored in an unsecured warehouse at Beirut’s cargo port. The ammonium...
Why do we embrace ‘cancel culture’?
Online disagreements, and even unintended slips, can end a person’s career. One stray word is all it takes to turn a hero into a pariah. What lies behind the hair-trigger we have placed on the reflex to “cancel” others? It may be a matter of confusing two separate moral codes. Several economists, including Paul Heyne, Geoffrey Lea, and Kenneth Boulding, have made the distinction between two codes of conduct. On one hand, we have the code of “Micro” relationships between...
Fake friends: the dangers of the internet mob
In his memoir,Defying Hitler, Sebastian Haffner reflects on the social climate that characterized Nazi Germany. In particular, he describes how “[the Nazis had] made all Germans everywhere rades.” Author David Rieff explains why Haffner saw this as “a moral catastrophe”: This emphatically was not radeship was never a good thing. To the contrary … it was a great and fort and help for people who had to live under unbearable, inhuman conditions, above all in war. But Haffner was equally...
6 quotes: Milton Friedman on woke capitalism, racism, and equality
Milton Friedman was born on July 31, 1912. His work in pioneering monetary theory at the University of Chicago would win him the Nobel Prize for Economic Sciences in 1976 and popularize a new school of free-market economics, “The Chicago School.” He went on to advise a host of political leaders around the world, including President Ronald Reagan and UK Prime Minister Margaret Thatcher. He also brought his views to a national audience, on public television, through two PBS miniseries...
Acton Line podcast: Critiquing the 1619 Project with Phil Magness
Since debuting in the New York Times Magazine on August 14, 2019, the 1619 Project has ignited a debate about American history, the founding of the country and the legacy emanating from the nation’s history with chattel slavery. The project’s creator and editor, Nikole Hannah-Jones, has described the project as seeking to place “the consequences of slavery and the contributions of black Americans at the very center of our national narrative.” Components of a related school curriculum have been adopted...
Population bust fueled COVID-19 spread: Study
The onslaught of the coronavirus global pandemic suspended the normal working of the economy, but it proved two less-noted truths: The family affects everything, including the economy; and a rising population saves lives. A recent study found that the number of deaths caused by COVID-19 would have been lower if society “had maintained the patterns of fertility, nuptiality, marital stability, and household structure that existed in 1976.” Had population trends held steady, COVID-19 deaths would have been lower as a...
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved