2022 Fiscal Year Research-status Report
The Effects of Fair Trade on Child Labor
Project/Area Number |
21K20143
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Research Institution | Kobe International University |
Principal Investigator |
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Project Period (FY) |
2021-08-30 – 2024-03-31
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Keywords | child labor / fair trade / poverty / developing countries / ethical consumption |
Outline of Annual Research Achievements |
In the project’s second year, I performed the work described below.
First, I built an analytical model of a small open economy (developing country) that incorporated both child labor and the fair trade (FT) system, using a previously (during the 1st year) created micro foundation on child labor in developing countries and previously (during the 1st year) documented features of the FT system. Second, in this model, I captured key components of the FT system, and using this setting, I tackled the equilibrium of the model and analyzed how an increase in the FT affects child labor in developing countries. Third, I derived the following results from the above construction. An increase in the FT world price increases the number of households in a developing country that do not force their children to work, however, it may intensify the total working time of children in developing countries. Next, I showed that the FT wage would have the opposite result. In addition, the FT (social) premium may contribute to a decline in children’s total working time. Fourth, I continued a formal analysis of the fair trade mechanisms. This analysis also contributed to the current study. I presented obtained results at conferences.
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Current Status of Research Progress |
Current Status of Research Progress
3: Progress in research has been slightly delayed.
Reason
The slight delay occurred because of the aftermath of the pandemic and instability in 2022. However, the remaining part of the project is expected to be finished in accordance with the plan.
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Strategy for Future Research Activity |
During FY 2023, I will work on submitting obtained results of the study as a research paper to an academic journal. Furthermore, I will present the obtained results at symposiums and conferences and promote the results of this study. In addition, I will collect and summarize feedback to work on further extensions of the study.
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Causes of Carryover |
I planned to use the funding to cover travel expenses to attend an international conference in New Zealand in FY 2022. However, the conference was conducted fully online. That resulted in incurred amount to be used in the next FY. I plan to use this amount to buy software and cover some of the publishing (e.g. journal submission fees), and travel expenses in FY 2023.
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