Impact of Access to Microcredit on the Well-being of Households and Poverty Change in Cameroon: 2001-200

Loading...
Thumbnail Image
Date
2021-04-19
Authors
Ngah, Otabela Nadège
Journal Title
Journal ISSN
Volume Title
Publisher
AERC
Abstract
Using data from the second and third Cameroonian household surveys, this study analyzes the relationship between access to microcredit, household well-being, and poverty change in Cameroon. It uses a combination of two methods of analysis: the instrumental variable method for controlling the potential endogeneity of access to increased microcredit by correcting for selection bias; and a method for breaking down poverty change into intra-growth, intra-redistribution, and inter-sector mobility components based on Shapley's value. The latter is based on comparison of evidencebased and hypothetical/non-factual distributions. The key findings reveal that access to microcredit: (i) significantly and positively affects the level of well-being of households and financial inclusion, particularly through education; (ii) has an impact on poverty change and that this effect is brought about by the redistribution component and primary sector; (iii) positively and significantly influences the intra-sector redistribution component of poverty change through the intra-sector growth and mobility components.
Description
Keywords
Microcredit, , Well-being, , Non-factual/hypothetical analysis, , Shapley analysis, , Household surveys, , Cameroon
Citation
Collections