Date Added: Aug 2009
The authors devise a retrospective panel data approach to evaluate the effects of fair trade affiliation on the schooling decisions of a sample of Thai organic rice producers across the past 20 years. They find that the probability of school enrolment in families with more than two children is significantly affected by affiliation years. The finding is robust when dealing with endogeneity and heterogeneity issues in the estimate. The non-positive preaffiliation performance documents that the result is not affected by selection bias and that fair trade affiliation generates a significant break in the schooling decisions of affiliated households.