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Impact of Access to Credit on Labor Allocation Patterns in Malawi

Author

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  • Swaminathan, Hema
  • Salcedo Du Bois, Rodrigo
  • Findeis, Jill L.

Abstract

Summary This paper uses data from the Malawi Financial Markets and Household Food Security survey to examine the impact of gendered access to credit on labor allocation patterns within the household. The paper corrects for potential endogeneity of access to credit in the estimations. Access to credit relies on the credit limit concept. Thus, an individual has access to credit from a particular source if he/she is able to borrow a positive amount from that source. Results suggest that the impact of access to credit depends upon both the gender of the recipient and whether it is formal or informal credit.

Suggested Citation

  • Swaminathan, Hema & Salcedo Du Bois, Rodrigo & Findeis, Jill L., 2010. "Impact of Access to Credit on Labor Allocation Patterns in Malawi," World Development, Elsevier, vol. 38(4), pages 555-566, April.
    • Handle: RePEc:eee:wdevel:v:38:y:2010:i:4:p:555-566
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    2. Swamy, Vighneswara, 2014. "Financial Inclusion, Gender Dimension, and Economic Impact on Poor Households," World Development, Elsevier, vol. 56(C), pages 1-15.
    3. Hu, Yue & Liu, Chang & Peng, Jiangang, 2021. "Financial inclusion and agricultural total factor productivity growth in China," Economic Modelling, Elsevier, vol. 96(C), pages 68-82.
    4. Habimana, Dominique & Haughton, Jonathan, 2022. "Does Rwanda’s flagship microcredit programme boost agriculture and incomes?," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 17(3), September.
    5. Edgar E. Twine & Elizaphan J. O. Rao & Isabelle Baltenweck & Amos O. Omore, 2019. "Are Technology Adoption and Collective Action Important in Accessing Credit? Evidence from Milk Producers in Tanzania," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(3), pages 388-412, July.
    6. Ghulam Hussain, A.K.M. & Nargis, Nigar & Ashiquzzaman, S.M. & Khalil, Fahad, 2019. "The employment impact of microcredit program participation in Bangladesh: Evidence from a longitudinal household survey," World Development Perspectives, Elsevier, vol. 13(C), pages 34-49.
    7. Thanh-Tung Nguyen & Trung Thanh Nguyen & Ulrike Grote, 2020. "Credit and Ethnic Consumption Inequality in the Central Highlands of Vietnam," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 148(1), pages 143-172, February.
    8. Li, Changsheng & Ma, Wanglin & Mishra, Ashok K. & Gao, Liangliang, 2020. "Access to credit and farmland rental market participation: Evidence from rural China," China Economic Review, Elsevier, vol. 63(C).
    9. Thanh-Tung Nguyen & Trung Thanh Nguyen & Ulrike Grote, 2020. "Weather shocks, credit and production efficiency of rice farmers in Vietnam," TVSEP Working Papers wp-017, Leibniz Universitaet Hannover, Institute of Development and Agricultural Economics, Project TVSEP.
    10. Twine, Edgar & Rao, Elizaphan & Baltenweck, Isabelle & Omore, Amos, 2015. "Credit, Technology Adoption and Collective Action in Tanzania’s Smallholder Dairy Sector," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 204198, Agricultural and Applied Economics Association.
    11. Larson, Donald F. & Gurara, Daniel Zerfu, 2013. "A conceptual model of incomplete markets and the consequences for technology adoption policies in Ethiopia," Policy Research Working Paper Series 6681, The World Bank.
    12. Qiao Chen & Huixiang Zeng, 2022. "Is corporate social responsibility constrained by bank credit resource allocation?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 29(5), pages 1560-1577, September.
    13. Jebarajakirthy, Charles & Lobo, Antonio, 2015. "A study investigating attitudinal perceptions of microcredit services and their relevant drivers in bottom of pyramid market segments," Journal of Retailing and Consumer Services, Elsevier, vol. 23(C), pages 39-48.

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