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How Effective is a Big Push to the Small? Evidence from a Quasi-Experiment

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  • Mallick, Debdulal

Abstract

This paper investigates whether a big push to the extreme poor in terms of a one-off large grant enables them to participate in the microfinance program. The analysis uses data from a quasi-experiment on BRAC’s ultra poor program in Bangladesh. The results for the baseline and repeat survey data for the treatment and comparison groups show that such a big push does make a significant impact on graduation to the microfinance program. The results are robust to correction for self-selection bias. Social capital and awareness also play important role in their decision on NGO membership and borrowing.

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  • Mallick, Debdulal, 2013. "How Effective is a Big Push to the Small? Evidence from a Quasi-Experiment," World Development, Elsevier, vol. 41(C), pages 168-182.
  • Handle: RePEc:eee:wdevel:v:41:y:2013:i:c:p:168-182
    DOI: 10.1016/j.worlddev.2012.05.021
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    Cited by:

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    2. Tunvir Ahamed Shohel & Sara Niner & Samanthi J. Gunawardana, 2023. "‘Even Though I Get a Loan, My Husband Controls It’: Rhetoric Versus Reality of Empowering Bangladeshi Women Through Microfinance Programs," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 35(4), pages 794-819, August.
    3. Edmonds, Eric & Theoharides, Caroline, 2020. "The short term impact of a productive asset transfer in families with child labor: Experimental evidence from the Philippines," Journal of Development Economics, Elsevier, vol. 146(C).
    4. João Paulo Coelho Ribeiro & Fábio Duarte & Ana Paula Matias Gama, 2022. "Does microfinance foster the development of its clients? A bibliometric analysis and systematic literature review," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 8(1), pages 1-35, December.

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