The Evolution away from Joint-Liability Lending in Microfinance
View Dublin Core Metadata
|
Title:
|
The Evolution away from Joint-Liability Lending in Microfinance |
|
Author:
|
Burton, James C.
|
|
Advisor:
|
Mudd, Shannon
|
|
Department:
|
Haverford College. Dept. of Economics |
|
Department:
|
CPGC: Center-sponsored |
|
Type:
|
Thesis (B.A.) |
|
Issue Date:
|
2011 |
|
Abstract:
|
This study of microfinance lending methodologies shows conclusive signs of an
evolution in the industry away from joint-liability by comparing the percentage of loans
that 454 Microfinance Institutions (MFIs) dedicated toward an “individual” lending
methodology over a two-year period. Not only do we show an industry trend, but we also identify organizational and environmental factors that affected movement over the two year period. Findings from a fixed effect regression indicate that a unit rise in average loan size, urban borrowers, and debt to equity ratios positively affects an MFI’s share of
individual lending, and thus negatively affect their share of joint-liability loans. We also
find that there exists a positive relationship between the age of the industry and greater
amounts of individual loans indicating that there has likely been an evolution in the
industry towards more individualized lending. In the final part of this paper, we also see
preliminary results that indicate a further need for research regarding the effect of loan size
on lending methodology. |
|
Subject:
|
Microfinance
|
|
Terms of Use:
|
http://creativecommons.org/licenses/by-nc/3.0/us/
|
|
Permanent URL:
|
http://hdl.handle.net/10066/6924
|
Files in this item
Citation
This item appears in the following Collection(s)
View Dublin Core Metadata