The Impact of Microcredit Loans on School Enrolment in Bangladesh.

Human capital investment, especially in education, is a well-known precursor of economic growth in developing countries. In recent years, there has been a proliferation of microfinance programmes, yet evidence on whether microfinance leads to increased educational investment is tenuous at best. We u...

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Publicado en:Journal of Development Studies Vol. 56; no. 9; pp. 1725 - 1745
Autores principales: Kandulu, John, Wheeler, Sarah, Zuo, Alec, Sim, Nicholas
Formato: Artículo
Publicado: Taylor & Francis Ltd Sep2020
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Acceso en línea:Ver este registro en EBSCOhost
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      dt: Sep2020
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      pub: Taylor & Francis Ltd
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        10.1080/00220388.2019.1703954
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        atl: The Impact of Microcredit Loans on School Enrolment in Bangladesh.
      aug:
        au:
          Kandulu, John
          Wheeler, Sarah
          Zuo, Alec
          Sim, Nicholas
        affil:
          Centre for Global Food and Resources, University of Adelaide, Adelaide, Australia
          School of Business, Singapore University of Social Sciences, Singapore, Singapore
      su:
        Bangladesh
        School enrollment
        Economic expansion
        Schoolboys
        Microfinance
        Propensity score matching
      sug:
        subj:
          School enrollment
          Economic expansion
          Schoolboys
          Bangladesh
          Microfinance
          Propensity score matching
      ab: Human capital investment, especially in education, is a well-known precursor of economic growth in developing countries. In recent years, there has been a proliferation of microfinance programmes, yet evidence on whether microfinance leads to increased educational investment is tenuous at best. We utilise a large-scale cross-sectional household dataset from Bangladesh and geospatial data to study how microcredit participation and increasing microcredit incomes – that is, the extensive and intensive margins of microcredit – affects the probability of children's school enrolment. The causal influence of microcredit participation on enrolments was estimated by utilising the propensity score matching (PSM) technique – a quasi-experimental treatment effects model. Whilst microcredit participation, the extensive margin, did not significantly influence the likelihood of school enrolment for boys, it increased girls' enrolment. Further, microcredit income, the intensive margin, had a stronger influence on girls' and younger siblings' enrolment than on boys' and older siblings' enrolment. Omission of spatial influences can overstate microcredit influence on enrolment; while not utilising PSM can underestimate the influence of microcredit participation on enrolment. Results suggest policies that focus solely on increasing microcredit participation, without increasing the amount of microcredit incomes accessed by households, may be less effective at improving child education outcomes.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
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