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Answer to Question #208497 in Economics for Mbali
Question #208497
How did the fixing of a fairtrade minimum price lead to unethical practices by coffee farmers?
Expert's answer
The Fairtrade minimum price is the amount that purchasers must pay to producers in order for a product to be certified as meeting Fairtrade standards. It is unethical for coffee growers to choose to market their lower-quality coffee as Fairtrade coffee in order to increase their income.
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