175: Do sweatshops reduce poverty? (Chris Blattman)

January 8, 2017

This episode explores the economics and ethics of low-paying factories (which some might call “sweatshops”) in Ethiopia. Do they make their workers better off, relative to those people’s outside options? Professor Chris Blattman has run some well-designed randomized controlled trials exploring this question, and he discusses what surprised him and how he’s updated his views from his research. Julia and Chris also discuss an innovative program to reduce crime in Liberia using cognitive behavioral therapy.

Transcript (PDF)