Is Fair Trade Honey Sweeter? An empirical analysis on the effect of affiliation on productivity

Leonardo Becchetti and Stefano Castriota
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Stefano Castriota: University of Trento

No 104, Working Papers from ECINEQ, Society for the Study of Economic Inequality

Abstract: We evaluate the impact of affiliation to Fair Trade on a sample of Chilean honey producers. Evidence from standard regressions and propensity score matching shows that affiliated farmers have higher productivity (income from honey per worked hour) than the control sample. We show that the productivity effect is partially explained by the superior capacity of affiliated workers to exploit economies of scale. Additional results on the effects of affiliation on training, cooperation and advances on payments suggest that affiliation contributed both to, and independently from, the economies of scale effect.

Keywords: Fair Trade; economies of scale; productivity. (search for similar items in EconPapers)
JEL-codes: D63 D64 O18 O19 O22 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-eff and nep-lab
Date: 2008
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Persistent link: http://EconPapers.repec.org/RePEc:inq:inqwps:ecineq2008-104

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