Home
/
RELIGION & LIBERTY ONLINE
/
Critiquing Fair Trade and Dead Aid
Critiquing Fair Trade and Dead Aid
Dec 4, 2025 10:56 AM

Cardus’ Robert Joustra rightly pillories “fair trade” along with the logic of foreign aid in a challenging article, “Fair Trade and Dead Aid: ‘My Voice Can’t Compete with an Electric Guitar.'”

Joustra’s point of departure is sound: “The aid model is not working, and no large-scale cash infusion or debt forgiveness scheme is going to make it suddenly start working. The fair trade brand is too small-scale and ultimately regressive.”

Unfortunately, though, Joustra’s well-placed critique of the fair trade movement underestimates the scope of the movement’s vision. With regard to coffee, for instance, Global Exchange has called for “a total transformation of the coffee industry, so that all coffee sold in this country should be Fair Trade Certified.”

The logic of fair trade in fact requires such wholescale paradigm shifts. But Joustra critiques the movement in part because it does not, on his view, represent the needed “long-term substantive critiques of the global social and political architecture.”

Joustra conclude that “as long as our consciences are salved by feel-good coffee branding and knee-jerk check writing campaigns, we won’t take the hard look we need at the architecture of global capitalism and bring about the social innovation that is necessary for genuine architectonic reformation.”

The problem with fair trade is not that it is not prehensive alternative to so-called global capitalism. It is that undermines the proper functioning of the market by artificially manipulating the price mechanism, resulting in all kinds of negative consequences, some of which Joustra notes, promoting “unprofitable work, and subsidizing unprofitable and undiversified economies.”

The critical questions that remain for Joustra and others are these: Does the proposed architectonic alternative to the current system properly value the role of markets or not? Do the corporatist and governmental abuses of “global capitalism” (e.g. subsidies, price fixing, and so on) need to be addressed, or are the philosophies of fair trade and aid not munitarian? Is the basic problem free trade and liberal economic globalization itself or the distortions thereof?

Update: Robert Joustra cogently addresses my questions. His answers, in part:

First, I believe capitalism, particularly coupled with the rule of law in a culture of virtue and long-term’ism, is a sound economic system. But our capitalism has degraded to an obsession with utilitarian short-term materialism. Some are apt to blame the system, but consumerism is nothing new – the scale which modernity enables us to practice it on is. That can entice us to be overly critical of the system which facilitates it, but I remain convinced that the deep “sites” of resistance to global consumerism are not our politics or our institutions, but our homes, churches and grocery stores. Politics, as they say, is downstream of culture and our culture is saturated with short-term materialism.

I find very little with which to quibble in these answers. Read the whole thing.

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
How the invisible hand reduces industry costs
Note: This is post #45 in a weekly video series on basic microeconomics. petitive markets, the market price—with the help of the Invisible Hand—balances production across firms so that total industry costs are minimized. In this video by Marginal Revolution University, economist Alex Tabarrok explains petitive markets also connect different industries. By balancing production, the Invisible Hand of the market ensures that the total value of production is maximized across different industries. (If you find the pace of the videos...
The anti-capitalist roots of American anti-Semitism
Over the past week Americans have been debating the removal of Confederate statues from our public spaces. The discussion was prompted by the white nationalist protest in Charlottesville, Virginia that was supposedly in response to the plan to take down the statue of Confederate general Robert E. Lee. But if the rally was about a statue, why were the protestors shouting about Jews? “Once they started marching, they didn’t talk about Robert E. Lee being a brilliant military tactician,” says...
Why Christians must get poverty and inequality right
Over the last two decades, global poverty has plummeted and the world’s poorest people have steadily climbed out of the shadow of death. Yet many Christians cannot distinguish between dire poverty and e inequality, falsely believe both are worsening, and oppose the very policies that have lifted the world’s poor out of malnutrition. “Why do we underestimate success?” asks Philip Booth in a new essay forReligion & Liberty Transatlantic. “Why do we accept fake news about these issues?” Booth– a...
How free trade promotes global peace
Thomas L. Friedman said in The Lexus and the Olive Tree that no two countries with McDonald’s within their borders have ever been in a war since having a McDonald’s. Since it was proposed in 1999 this explanation of how globalization affects foreign policy and conflict has e known as theGolden Arches Theory of Conflict Prevention. There are several examples that prove Friedman’s theory is wrong (e.g., India and Pakistan in 1998,Georgia and Russia, 2008). But in general, globalization does...
The cramped morality of trade protectionism
“If a product is seen only as the opportunity for work, it is certain that the anxieties of protectionists are well founded.” –Frédéric Bastiat, Economic Sophisms Drawing inspiration from a 1847 essay by the inimitable Frédéric Bastiat, economist Donald Boudreauxtackles a popular argument from today’s trade protectionists: namely, “that protectionism is justified if enough consumers or voters are willing to pay higher prices in order to help workers.” The problem, of course, is that such a perspective debases the value...
Radio Free Acton: Ismael Hernandez on the recent ‘Detroit’ film and Jacqueline Isaacs on Libertarian Christians
This week on Radio Free Acton, we ask Ismael Hernandez, founder and president of the Freedom and Virtue Institute to give his opinions on the new film “Detroit,” depicting the 1967 12th Street Riots. Hernandez states for listeners how “it is important to know that every time you see a portrayal of a historical event, you need to be able to separate fact from narrative…we have to be able to understand that we are being sold a narrative with the...
Parents’ inalienable rights over their children’s education and religious instruction
As children in the U.S. return to school, their European contemporaries have or soon will join them. However, they do so in a context that recognizes fewer of the traditional rights that society has accorded parents over the education of their children, especially whether they are taught to uphold or disdain their family’s moral and religious views. Grégor Puppinck, Ph.D., the director of theEuropean Centre for Law and Justice (ECLJ), addressed the rights that parents rightfully exercise over their children’s...
Our economic age of anxiety
“Developed nations are increasingly haunted by doubts about the legitimacy of their economic structures,” says Victor V. Claar and Greg Forster in this week’s Acton Commentary. “This paralyzing anxiety crosses all lines of ethnicity, religion, class, party and ideology.” This is not a mere selfish concern about who gets how much of what. It is a moral anxiety, a concern about what kind of people we are ing. Is America still a country where it pays to “work hard and...
Reading ‘Democracy in America’ (Part 4): The long shadow of the French Revolution
This is the fourth part in a series on how to read Alexis de Tocqueville’s Democracy in America. Read the Introduction and follow the entire series here. In the previous installment, we considered feudalism as a class system of mutual responsibilities centered on land. Land was the basis of wealth during the medieval period. But by the 12th century, land was slowly being replaced by trade as the main generator of wealth in Europe. That basic shift and the subsequent...
The socialist threat to Catholic schools in Spain
The Spanish government is currently run by the center-Right People’s Party, led by Mariano Rajoy. However, should Spain’s socialist parties return to power, they have announced their intention to remove Catholic education from the curriculum and replace it with a secular curriculum that teaches fidelity to the government. In place of voluntary religious education, the socialists of Spain would impose secular and progressive “Education for Citizenship and Human Rights” (EfC). In this way, socialism could use government funding to bring...
Related Classification
Copyright 2023-2025 - www.mreligion.com All Rights Reserved