Citation

Discussion Paper Details

Please find the details for DP7459 in an easy to copy and paste format below:

Full Details   |   Bibliographic Reference

Full Details

Title: Middlemen, Non-Profits and Poverty

Author(s): Nancy H Chau, Hideaki Goto and Ravi Kanbur

Publication Date: September 2009

Keyword(s): market access, middlemen, non-profits and poverty

Programme Area(s): Development Economics

Abstract: In many markets in developing countries, especially in remote areas, middlemen are thought to earn excessive profits. Non-profits come in to counter what is seen as middlemen's market power, and rich country consumers pay a 'fair-trade' premium for products marketed by such non-profits. This paper provides answers to the following five questions. How exactly do middlemen and non-profits divide up the market? How do the price mark up and price pass-through differ between middleman and non-profits? What is the impact of non-profits entry on the wellbeing of the poor? Should the government subsidize the entry of non-profits, or the entry of middlemen? Should wealthy consumers in the North pay a premium for fair trade products, or should they support fair trade non-profits directly?

For full details and related downloads, please visit: https://cepr.org/active/publications/discussion_papers/dp.php?dpno=7459

Bibliographic Reference

Chau, N, Goto, H and Kanbur, R. 2009. 'Middlemen, Non-Profits and Poverty'. London, Centre for Economic Policy Research. https://cepr.org/active/publications/discussion_papers/dp.php?dpno=7459