Click here for search results
Money or ideas ? a field experiment on constraints to entrepreneurship in rural Pakistan
 
Author:Gine, Xavier; Mansuri, Ghazala; Collection Title:Policy Research working paper ; no. WPS 6959Impact Evaluation series
Country:Pakistan; Date Stored:2014/06/30
Document Date:2014/06/01Document Type:Policy Research Working Paper
SubTopics:Access to Finance; Business in Development; Business Environment; E-Business; Competitiveness and Competition PolicyLanguage:English
Region:South AsiaReport Number:WPS6959
Volume No:1 of 1  

Summary: This paper identifies the relative importance of human and physical capital for entrepreneurship. A subset of rural microfinance clients were offered eight full time days of business training and the opportunity to participate in a loan lottery of up to Rs. 100,000 (USD 1,700), about seven times the average loan size. The study finds that business training increased business knowledge, reduced business failure, improved business practices and increased household expenditures by about $40 per year. It also improved financial and labor allocation decisions. These effects are concentrated among male clients, however. Women improve business knowledge but show no improvements in other outcomes. A cost-benefit analysis suggests that business training was not cost-effective for the microfinance institution, despite having a positive impact on clients. This may explain why so few microfinance institutions offer training. Access to the larger loan, in contrast, had little effect, indicating that existing loan size limits may already meet the demand for credit for these clients.

Official Documents
Official, scanned versions of documents (may include signatures, etc.)
File TypeDescriptionFile Size (mb)
PDF 69 pagesOfficial version*4.83 (approx.)
TextText version**
How To Order

* The official version is derived from scanning the final, paper copy of the document and is the official,
archived version including all signatures, charts, etc.
** The text version is the OCR text of the final scanned version and is not an accurate representation of the final text.
It is provided solely to benefit users with slow connectivity.



Permanent URL for this page: http://go.worldbank.org/EGJ96P15F0