Revisiting Microcredit's Poverty†Reducing Promise: Evidence from Cambodia

Kimty Seng

Journal of International Development, 2018, vol. 30, issue 4, 615-642

Abstract: This article analyses the effects of microcredit offered by microfinance institutions on household poverty in terms of household food consumption, with data from the Cambodia Socio†Economic Survey conducted in 2014. The analysis is carried with an endogenous switching model accounting for endogenous selection bias resulting from unobservable confounders and for inherent differences between household borrowers and non†borrowers in terms of food consumption functions. The results suggest that households, whether extremely poor, relatively poor or non†poor, which take out microcredit, get worse off in terms of household food consumption per capita. Copyright © 2018 John Wiley & Sons, Ltd.

Date: 2018
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Persistent link: https://EconPapers.repec.org/RePEc:wly:jintdv:v:30:y:2018:i:4:p:615-642

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