May Microcredit Lead to Inclusion?

نویسندگان

چکیده

We consider a Markov-Chain model for Micro-Finance Institution (MFI) borrower who can be in one of four states: Applicant ($A$), Beneficiary ($B^-$ or $B^+$) small large loan, Included ($I$) the regular banking system. Given transition matrix we compute equilibrium and deduce influence probability parameters on what is profitable to within breaking-even constraints MFI. give general theorem expected income flow Markov Chain with Income (MCI), that then apply our determine emerging from Absence Strategic Default (ASD) requirements. These not only bound probabilities success above but sometimes also below.

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ژورنال

عنوان ژورنال: Siam Journal on Financial Mathematics

سال: 2021

ISSN: ['1945-497X']

DOI: https://doi.org/10.1137/20m1342811