Emerging markets :Understanding the business environment

Spring 2012Prof. Olivier Cadot

Bureau 524Olivier.cadot@unil.ch

This is not an exhaustive literature review, but a guide in order to guide all groups that are willing to work on microfinance or social projects evaluation. Depending on what the groups wants to work on these topics, you can choose some of the papers (and check their bibliographies) in order have a better overview (both theoretical and practical) of the topic you have chosen.

Useful links and literature on microfinance and social projects evaluationData on many microfinance institutions all over the worldhttp://www.mixmarket.org/

Papers, research etc. on Microfinancehttp://www.cgap.org/p/site/c/

Bibliography:

1. Classic Literature on poverty, expected utility of poor households, vulnerability, consumption smoothing, income smoothing, data required, etc.

Friedman, Milton (1995). Choice, Chance and the Personal Distribution of Income. Journal of political Economy, pp. 277-290. (Very formal, important part is on wealth acccumlation)

Morduch, Jonathan (1994). Poverty and Vulnerability. American economic Review, Vol. 84 (2) pp. 221-25

Morduch, Jonathan (1994). Income Smoothing and Consumption Smoothing. Jornal of economic Perspectives. 9(3), p. 81-128.

Besley, Timothy (1995). Non-market Institutions for Credit and Risk Sharing in Low-Income countries. Journal of Economic Perspectives 9 (3), pp. 115-127

2. Formal institutions against poverty

Kochar (1995). Explaining Household Vulnerability to Idiosyncratic Income Shocks. Amercian Economic Review. May, pp. 159-164

Gaviria, Alejandro (2001). Household response to adverse Income shocks in Latin America, Interamerican Devolpment Bank (IDB), WP-455

3. Surveys (usefull if you want to check national surveys data)

Deaton, Angus (1997). The Analysis of Households Surveys. A Microeconomic approach to development policy. World Bank. Look at chapter 1.3 (living standards surveys). (many impact evaluation use national surveys data, this book is usefull to understand them)

Duncan, Thomas, et al. (2001). Lost but not Attribution and Follow-Up in the Indonesian Family Survey. Journal of Human Resources. 36 (3) pp. 556-592 Summer

4. Microfinance

a. Getting Started:

Ray, Debraj (1998), Development Economics, Princeton University Press.

Morduch, Jonathan (1999). The Microfinance Promise. Journal of Economics Litterature. 37(4), pp. 1569-1614, December

Armendariz de Aghion, Beatriz & Morduch, Jonathan (2005). The economics of Microfinance, MIT Press,Cambridge (Massachusetts)

Hulme, David & Mosley, Paul (1996). Finnance Against Poverty. London, 1996)

Rutheford, Stuart (2001). The poor and their Money. OUP (2001)

Stiglitz, J. (1994). The role of the State in finantial markets. Proceedings of the world Bank Annual Conference on Development economics. Washington

Ledgeworth, J. (1999). The microfinance Handbook-an institutional and finantial perspective, Sustainable banking with the Poor. World Bank

b. Targeting (Microfinace is based on targeting, who? How? Here are some papers for understanding this concept)

Pritchett, L.; Sumarto, S.; Suryahadi, A. Safety Ropes? Dynamic Benefit of Two Crisis Programs in Indonesia

Albert, Nicholls & Zeckhauser , Richard (1982). Targeting ttranfers thorugh Restrictions on Recipients. American Economs review, 72(2), pp. 372-377

Sen, A. (1992). The political Economy of Targeting. WB Conference on Public Expenditures and the Poor, Washington.

c. The financial view of microfinance

Beck, Thorsten (2007). Efficiency in Financial intermediation –theory and empirical measurements, in Balkenhol, b. (ed.). Microfinance and Public Policy, Palgrave mav Millian and ILO

Brookings Institutions (2007). Building Inclusive Financial Systems – A framework on Finantial Access. Brooking Institutions press/World Bank

Christen, Robert et al. (1995) Maximizing the outreach of microfinance finance: an analysis of successful microfinance programs, USAID and Operations Assessment report no. 10, June.

Nimal, Fernando (2004). Micro success Story? Transformation of NGOs into regulated financial institutions, ADB, Manila, June.

Jansson, Tor. (2003). Performance Indicators for microfinance institutions –Technical guide. MICRORATE IADB, July.

Paxton, Julia (2002). Depth of Outreach and its relation to the sustainability of MFIs, Savings and Development, vol. XXVI, pp. 69-83

Stephens, Blaine (2005). Sustainability in sight: an analysis of MFIs that become sustainable. Micro Banking bulletin, pp. 23-29

Zeller, Manfred (2003). Models of rural financial institutions, USAID/WOCCU Conference 2003, Washington

Zeller, Manfred et al. (2003). Social Performance Indicator Initiatives (SPI), Final report, October

d. CASE STUDY EXAMPLES (Probably the papers you will focus on depending on the country and institutions you want to work with)

ASIA

Bouman, F.S.A. (1989). Small, short and Unsecured-Informal rural Finance in India. New Dehli, OUP

Coleman, B. (1999). The impact of group lending in North east Thailand. Journal of development Economics, 60, pp. 105-142

Duflo, E. (2007). , S. Remedying education: evidence from two randomized experiments in India. Quarterly Journal of economics, 122 (3), 1235-1264, August.

Khander, S.; Samad, H.; Khan, Z. (1998). Income and employment effects of microcredit programs: village level evidence from Bangladesh. Journal of development Studie, vol. 35, December

Pitt, Mark. & Khander, S. (1998). The impact of group based credit programs on poor households in Bangladesh: does the gender of participant matter?. Journal of political economics, 106(5), pp. 958-996.

Lapenu, C. & Zeller, M. (2002). Distribution, Growth, and Performance of MFIs in Africa, Asia and Latin America; A recent inventory. Savings and Development, no. 1vol XXVI, pp. 87-111

Morduch, J. (1999). The role of subsidies in Microfinance: evidence of the Grameen bank. Journal of Development Economics, vol. 60 pp. 229-248

AFRICA

Copestake, J. et al. (2001). Assessing the impact of Microcredit: a Zambian case study. Journal of Development Studies, vol . 37, no. 4, April

Lafourcade, A.-L. et al. (2005) Overview of the Outreach and Finantial performance of microfinance institutions in Africa, MIX, Washington, April

Lapenu, C. & Zeller, M. (2002). Distribution, Growth, and Performance of MFIs in Africa, Asia and Latin America; A recent inventory. Savings and Development, no. 1vol XXVI, pp. 87-111

LATIN AMERICA

CGAP (2001), Commercialization and mission drift – The transformation of Microfinance in Latin America, Ocasional Paper no. 5. January

Lapenu, C. & Zeller, M. (2002). Distribution, Growth, and Performance of MFIs in Africa, Asia and Latin America; A recent inventory. Savings and Development, no. 1vol XXVI, pp. 87-111

Navajas, S. et al. Microcredit and the poorest of the poor: theory and evidence from Bolivia. World Development, vol. 28, no. 2 pp. 333-346

5. Microfinance Revisited

Banerjee, B., Duflo, E., Glennester, R. , Kinnan, C. (2009)The Miracle of Microfinance? Evidence from a randomized evaluation. MIT Poverty Lab.

Consultative Group to Assist the Poor, CGAP (2009). What Do We Know about the Impact of �Microfinance?(http://www.cgap.org/p/site/c/template.rc/1.26.1306/)

Morduch, J. (2000). The Microfinance Schism. Word development, 28(4), pp. 617-629.

Morduch, J. (1998). Does Micronance Really Help the Poor? Evidence from Flagship Pro� � grams in Bangladesh,Hoover Institution, Stanford U. working paper.�