Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia
Evidence on the long‐term impacts of microfinance credit is scarce. We use a unique four‐round panel dataset on farm households in northern Ethiopia that had access to microfinance, observed on two key poverty indicators: household consumption and housing improvements. Fixed‐effects and random trend...
| Autores principales: | , |
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| Formato: | Journal Article |
| Lenguaje: | Inglés |
| Publicado: |
Wiley
2011
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| Materias: | |
| Acceso en línea: | https://hdl.handle.net/10568/154287 |
| _version_ | 1855525507270967296 |
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| author | Berhane, Guush Gardebroek, Cornelis |
| author_browse | Berhane, Guush Gardebroek, Cornelis |
| author_facet | Berhane, Guush Gardebroek, Cornelis |
| author_sort | Berhane, Guush |
| collection | Repository of Agricultural Research Outputs (CGSpace) |
| description | Evidence on the long‐term impacts of microfinance credit is scarce. We use a unique four‐round panel dataset on farm households in northern Ethiopia that had access to microfinance, observed on two key poverty indicators: household consumption and housing improvements. Fixed‐effects and random trend models are used to reduce potential selection biases due to time‐invariant unobserved heterogeneity and individual trends therein. Results show that borrowing indeed causally increased consumption and housing improvements. A flexible specification that takes into account repeated borrowings also suggests that borrowing has cumulative long‐term effects on these outcomes, implying that short‐term impact estimates may underestimate credit effects. |
| format | Journal Article |
| id | CGSpace154287 |
| institution | CGIAR Consortium |
| language | Inglés |
| publishDate | 2011 |
| publishDateRange | 2011 |
| publishDateSort | 2011 |
| publisher | Wiley |
| publisherStr | Wiley |
| record_format | dspace |
| spelling | CGSpace1542872025-03-11T12:14:31Z Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia Berhane, Guush Gardebroek, Cornelis rural poverty microfinance data impact models Evidence on the long‐term impacts of microfinance credit is scarce. We use a unique four‐round panel dataset on farm households in northern Ethiopia that had access to microfinance, observed on two key poverty indicators: household consumption and housing improvements. Fixed‐effects and random trend models are used to reduce potential selection biases due to time‐invariant unobserved heterogeneity and individual trends therein. Results show that borrowing indeed causally increased consumption and housing improvements. A flexible specification that takes into account repeated borrowings also suggests that borrowing has cumulative long‐term effects on these outcomes, implying that short‐term impact estimates may underestimate credit effects. 2011-01 2024-10-01T14:00:38Z 2024-10-01T14:00:38Z Journal Article https://hdl.handle.net/10568/154287 en Limited Access Wiley Berhane, Guush; Gardebroek, Cornelis. 2011. Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia. American Journal of Agricultural Economics 93(1): 43-55. https://doi.org/10.1093/ajae/aaq126 |
| spellingShingle | rural poverty microfinance data impact models Berhane, Guush Gardebroek, Cornelis Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia |
| title | Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia |
| title_full | Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia |
| title_fullStr | Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia |
| title_full_unstemmed | Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia |
| title_short | Does microfinance reduce rural poverty? Evidence based on household panel data from Northern Ethiopia |
| title_sort | does microfinance reduce rural poverty evidence based on household panel data from northern ethiopia |
| topic | rural poverty microfinance data impact models |
| url | https://hdl.handle.net/10568/154287 |
| work_keys_str_mv | AT berhaneguush doesmicrofinancereduceruralpovertyevidencebasedonhouseholdpaneldatafromnorthernethiopia AT gardebroekcornelis doesmicrofinancereduceruralpovertyevidencebasedonhouseholdpaneldatafromnorthernethiopia |