(Dis)advantages of informal loans – Theory and evidence
Sign Up to like & getrecommendations! Published in 2018 at "European Economic Review"
DOI: 10.1016/j.euroecorev.2017.12.005
Abstract: We study borrowers’ choice between formal and informal credit in a setting with imperfect debt enforcement. In contrast to formal loans (e.g., from banks), informal loans (e.g., from friends or relatives) can be enforced by… read more here.
Keywords: credit; informal loans; formal informal; formal loans ... See more keywords
The Influence of Social Capital on Farm Household’s Borrowing Behavior in Rural China
Sign Up to like & getrecommendations! Published in 2018 at "Sustainability"
DOI: 10.3390/su10124361
Abstract: This paper evaluates whether social capital affects the ability of farm households to obtain formal and informal loans. We test for the impact of two measures of social capital. The first measure, kinship, captures the… read more here.
Keywords: farm household; social capital; informal loans; capital ... See more keywords