Fair Trade for All: How Trade Can Promote Development

Winner of the Nobel Prize in Economics and author of the New York Times bestselling book Globalization and Its Discontents , Joseph E. Stiglitz here joins with fellow economist Andrew Charlton to offer a challenging and controversial argument about how globalization can actually help Third World countries to develop and prosper.

In Fair Trade For All , Stiglitz and Charlton address one of the key issues facing world leaders today–how can the poorer countries of the world be helped to help themselves through freer, fairer trade? To answer this question, the authors put forward a radical and realistic new model for managing trading relationships between the richest and the poorest countries. Their approach is designed to open up markets in the interests of all nations and not just the most powerful economies, to ensure that trade promotes development, and to minimize the costs of adjustments. Beginning with a brief history of the World Trade Organization and its agreements, the authors explore the issues and events which led to the failure of 2003 Cancun summit and the obstacles that face the successful completion of the Doha Round of negotiations. Finally they spell out the reforms and principles upon which a successful agreement must be based.

Vividly written, highly topical, and packed with insightful analyses, Fair Trade For All offers a radical new solution to the problems of world trade. It is a must read for anyone interested in globalization and development in the Third World.

It is almost certain that the Doha Development Round will fail to live up to its name. Trade negotiators should turn to this book for bold new ideas on how to make the global trade regime work for developing countries.

– Dani Rodrik
Harvard University

Provocative…. Stiglitz and Charlton show that standard economic assumptions are wrong when it comes to many developing economies…. Stiglitz is worth listening to…. The authors argue that the pace at which poorer nations open their markets to trade should coincide with the development of new institutions–roads, schools, banks and the like–that make such transitions easier and generate real opportunities. Since many poor nations can’t afford the investments required to build these institutions, rich nations have a responsibility to help.

– Robert B. Reich
The New York Times Book Review

We are stuck with a global economic system that doesn’t work for half the world. Stiglitz and Charlton propose a plan to embrace the other half, to move to a future of shared benefits and shared responsibilities.

– President Bill Clinton

Nobel Laureate Joseph Stiglitz and co-author Andrew Charlton offer us an insightful and challenging new study on how to make the world trading system truly supportive of international development. Professor Stiglitz’s leadership in the globalization debate reflects his remarkable combination of scholarly excellence, extensive political experience, and deep commitment to social justice. This powerful combination shines through in this accessible and timely new book.

– Jeffrey D. Sachs
Author of The End of Poverty , Director of the UN Millennium Project, and Director of the Earth Institute at Columbia University

The best case made yet for trade’s development potential…a must read–and must do–if the Doha Round is going to become developmental.

– Jose Antonio Ocampo
Under-Secretary-General for Economic and Social Affairs of the United Nations

This is a really important book. We all want to fix the WTO. But different groups of developing countries–and developed countries too–have radically different ideas about what that means. Fair Trade For All shows how to fix the WTO, in these difficult circumstances, in a way which is also fair.

– David Vines
Professor of Economics at Oxford University and the Australian National University, Canberra

The debate on trade and development has often been dominated by simplistic rhetoric, either overselling the benefits of trade liberalisation or demonising it. The authors of Fair Trade for All provide a well-written and balanced account of how to maximise the benefits of trade for development and avoid the pitfalls. For those with keen interest in the debates on the Development Agenda for trade, this should be a required reading.

– Dr. Supachai Pantichpakdi
Secretary-General of UNCTAD

This is an interesting read and I welcome the overall message that liberalisation is beneficial provided it is properly done in the interests of the poor. This is a valuable contribution to the debate.

– The Rt Hon Hilary Benn MP
Secretary of State for International Development

About the Authors

Joseph Stiglitz
President
Initiative for Policy Dialogue (IPD)

Joseph E. Stiglitz is President of the Initiative for Policy Dialogue, and Chairman of the Committee on Global Thought at Columbia University. He is University Professor at Columbia, teaching in its Economics Department, its Business School, and its School of International and Public Affairs. He chaired the UN Commission of Experts on Reforms of the International Monetary and Financial System, created in the aftermath of the financial crisis by the President of the General Assembly. He is former Chief Economist and Senior Vice-President of the World Bank and Chairman of President Clinton’s Council of Economic Advisors. He was awarded the Nobel Memorial Prize in Economics in 2001.

Andrew Charlton
Research Fellow
London School of Economics

Andrew Charlton is a Research Fellow at the London School of Economics. He has taught at Oxford University and been a consultant for the Initiative for Policy Dialogue, The United Nations Development Program and the Organization for Economic Co-operation and Development.