Economic trends of Fair Trade new way of trading
The new directions of Fair Trade s influence on the Global Trade System
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In a free market economy we are aware of the fact that producer will deliver the goods we demand and that the price for this good will be at the level directed by the invisible hand of the market. So at the end the customer is happy to have the provided range of goods for the optimal market price and the producer is satisfied because he has produced the good which is in a demand, and the market price mechanism allowed him to sell that good on an optimal market price. But then comes the question who and why needs a fair trade system if the perfection exists in the form of a free trade? Fair Tra...
In a free market economy we are aware of the fact that producer will deliver the goods we demand and that the price for this good will be at the level directed by the invisible hand of the market. So at the end the customer is happy to have the provided range of goods for the optimal market price and the producer is satisfied because he has produced the good which is in a demand, and the market price mechanism allowed him to sell that good on an optimal market price. But then comes the question who and why needs a fair trade system if the perfection exists in the form of a free trade? Fair Trade is considered to be a new way of trade and responsible to bring a new business decisions. It provokes a lot of questions like whether the consumer goes for a product or an idea? To be fair with Fair Trade we are going study up the main priorities of this alternative way of trade.
