IDEAS home Printed from https://ideas.repec.org/a/taf/jdevst/v54y2018i9p1483-1495.html
   My bibliography  Save this article

ROSCA Composition and Repayment: Evidence from Taiwanese Bidding ROSCAs

Author

Listed:
  • Jonathan Bauchet
  • Vance Larsen

Abstract

Rotating savings and credit associations (ROSCAs) are widespread and remain a key financial management tool for poor individuals. We analyse data from Taiwanese bidding ROSCAs and focus on how social relationships within the group influence contribution behaviour and ROSCA failure. We find that less socially-connected participants were more likely to receive the pot early in the cycle, which increases their incentive to default, yet contrary to accepted wisdom groups including more outsiders were not more likely to experience repayment problems. Our results highlights how bidding ROSCAs can be a versatile device that provide profitable savings while allowing for emergency credit.

Suggested Citation

  • Jonathan Bauchet & Vance Larsen, 2018. "ROSCA Composition and Repayment: Evidence from Taiwanese Bidding ROSCAs," Journal of Development Studies, Taylor & Francis Journals, vol. 54(9), pages 1483-1495, September.
    • Handle: RePEc:taf:jdevst:v:54:y:2018:i:9:p:1483-1495
    DOI: 10.1080/00220388.2017.1333107
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00220388.2017.1333107
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00220388.2017.1333107?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kyle McNabb & Philippe LeMay-Boucher & Jacopo Bonan, 2019. "Enforcement Problems in ROSCAs: Evidence from Benin," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(5), pages 1389-1415, December.
    2. Baland, Jean-Marie & Guirkinger, Catherine & Hartwig, Renate, 2019. "Now or later? The allocation of the pot and the insurance motive in fixed roscas," Journal of Development Economics, Elsevier, vol. 140(C), pages 1-11.
    3. Maitra, Pushkar & Miller, Ray & Sedai, Ashish, 2023. "Household welfare effects of ROSCAs," World Development, Elsevier, vol. 169(C).
    4. Pushkar Maitra & Ray Miller & Ashish Sedai, 2022. "Household Welfare Effects of ROSCAs," Monash Economics Working Papers 2022-14, Monash University, Department of Economics.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:jdevst:v:54:y:2018:i:9:p:1483-1495. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/FJDS20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.