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on Microfinance |
| By: | Azhar Khan (Department of Economics, University of Strathclyde); Twyeafur Rahman (Department of Economics, University of Strathclyde); Robert E Wright (Department of Economics, University of Strathclyde) |
| Abstract: | This paper examines the impact of micro-credit on employment. Household-level data was collected, following a quasi-experimental design, in Bangladesh and Pakistan. Three borrower groups are compared: Current borrowers; Pipeline borrowers and Non-borrowers. Pipeline borrowers are included to control for self-selection effects. It is argued that microcredit causes a substitution of employment away from employment-for-pay to self-employment. Therefore, the effect on total employment is ambiguous. OLS and fixed effects regression are used to examine separately self-employment and employment-for-pay between three groups of borrowers. For Pakistan, there is no evidence that micro-credit effects employment. However, for Bangladesh, there is robust evidence consistent with this hypothesis. |
| Keywords: | Micro-credit, self-employment |
| JEL: | G21 J22 |
| URL: | http://d.repec.org/n?u=RePEc:str:wpaper:1610&r=mfd |
| By: | Mishra, Khushbu; Gallenstein, Richard; Miranda, Mario J; Sam, Abdoul G; Toledo, Patricia T |
| Abstract: | The majority of the world’s poor live in rural areas and rely on agriculture for their income. Therefore, increasing agricultural efficiency via technology adoption is critical to reducing poverty in developing agrarian economies such as those in Sub-Saharan Africa (SSA). Despite its apparent advantages, SSA has one of the lowest adoption rates. Accordingly, the objective of this paper is to investigate if the availability of meso-and micro-level insurance encourages access to credit by relaxing demand side and supply side constraints. We further disaggregate the effects by gender of the farmer to see if any differential impacts exist over female versus male farmers. Using a randomized control trial and difference-in-difference estimation, we find that availability of meso-level insurance, when the banks are the policy holders, increases the likelihood of agricultural loan approvals for smallholder farmers. Gender level analysis shows that the likelihood increases for both female and male farmers. |
| Keywords: | agricultural technology adoption, credit access, insurance, panel data, Ghana, Food Security and Poverty, International Development, Research and Development/Tech Change/Emerging Technologies, Risk and Uncertainty, |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea16:239853&r=mfd |
| By: | Heenkenda, Shirantha |
| Abstract: | The main objective of this study is to explore the feasibility of farmers’ organizations (FOs) as a vehicle for microinsurance delivery for paddy crop cultivated by small-scale (peasant) farmers in Sri Lanka. Ampara district, on Sri Lanka’s eastern plain was selected to conduct the field survey. Factor Analysis is used to elicit the group dynamic and capacity of FOs as a stakeholder of the insurance supply chain. The results show that the farmers’ organization is most widespread and very close institutional setup for paddy farmers. FOs are capable of handling financial activities with transparency, and have healthy financial habits and those farmers participate actively in farmers’ organization activities. This study provided clear policy insights into the design of institutions channel that foster cooperation, and of the characteristics of FOs. To assist in the FOs financial activities, the postal network can act as financial intermediaries in circumstances where the commercial insurers do not have an outlet or branch networks in their target area. For developing the linkages between farmers and insurers, the public-private partnership model can be used for microinsurance supply to paddy farmers in Sri Lanka. In this context, multi-stakeholder partnerships should be made imperative for paddy farmers’ insurance delivery aimed at widespread coverage or large-scale implementation. |
| Keywords: | Farmers’ Organizations, Financial Intermediaries, Insurance Delivery, Microinsurance |
| JEL: | G2 G22 |
| Date: | 2016–02–14 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:72480&r=mfd |