On the example of a commercial microfinance institution (MFI) in Tanzania this paper investigates first whether agricultural firms have a different probability to get a loan and whether their loans are differently volume rationed than loans to non-agricultural firms. Second, we analyze whether agricultural firms repay their loans with different delinquencies than non-agricultural firms. Our res...

When the representative bank’s backward-bending loan supply curve peaks at the profitmaximizing loan rate, credit rationing could exist as an equilibrium phenomenon and the equilibrium interest rate in the loan market is subject to upward rigidity. With the loan-market setting as micro-foundation for investment, this paper further develops a macro model of a small open economy under the regime ...

small business and entrepreneurship play critical role in stimulating economic activity, creating jobs, alleviating poverty and uplift living standards in africa. it is widely accepted that the micro and small enterprise (mse) sectors have the potential to provide a livelihood for a considerably large number of poor rural and urban women in ethiopia. women account for the larger share of the in...

Several economic models have described the theoretical causes and consequences of ‘credit rationing’ and ‘under-investment. This literature shows the long-run effects of initial wealth distribution and entrepreneurial ability on the process of occupational choice and performance, and its consequences on inequality. Surprisingly, there is very little micro-level evidence on the existence and eff...

Micro-credit for poverty alleviation is an important financial measure of targeted reduction and rural revitalization in China. This paper employs the OLS model Logit to empirically test effect micro-credit on income level stability growth farmers based field survey data 458 registered poverty-stricken farmer households Fuping County Quyang Hebei Province. The results suggest that can increase ...

Micro credit is a loan that intended for the poor to continue their business. Since 2008, Government has distributed micro assistance through Rural Agribusiness DevelopmentProgram (PUAP) which managed by Microfinance Institution (LKMA). In theimplementation of this credit, there are still many bad loans. This study aims determine effectof application sanctions on repayment at MicrofinanceInstit...

This study aims to test financial literacy and credit conditions in determining formal access determine the performance of MSMEs. research includes type associative that is accompanied by hypothesis testing. was conducted on MSMEs as many 324 creative industry players four cities East Java (Mojokerto, Pasuruan, Gresik, Sidoarjo) with a sample size 100 actors who had accessed using stratified ra...