This paper examines how availability of microfinance influences households’ borrowing from informal sources in village economies. It uses a unique household level panel data set, which spans more than two decades (1987–2008), from rural Bangladesh. We find that households’ access to microfinance reduces the incidence of borrowing from informal sources, but not the amount of borrowing. We find t...

We present a generic method for establishing interpolation properties by ‘borrowing’ across logical systems. The framework used is that of the so-caled ‘institution theory’ which is a categorical abstract model theory providing a formal definition for the informal concept of ‘logical system’ and a mathematical concept of ‘homomorphism’ between logical systems. We develop three different styles ...

We develop a general model of lending in the presence of endogenous borrowing constraints. Borrowing constraints arise because borrowers face limited liability and debt repayment cannot be perfectly enforced. In the model, the dynamics of debt are closely linked with the dynamics of borrowing constraints. In fact, borrowing constraints must satisfy a dynamic consistency requirement: the value o...

This paper investigates how a firm’s borrowing cost evolves as it ages. Using a new data set of more than 200,000 bank-dependent small firms for 1997-2002, we find the following. First, the distribution of borrowing costs tends to become less skewed to the right over time, which can be partially attributed to “selection” (i.e., exits of defaulting firms reduce the total borrowing costs), but is...

We develop a general model of lending in the presence of endogenous borrowing constraints. Borrowing constraints arise because borrowers face limited liability and debt repayment cannot be perfectly enforced. In the model, the dynamics of debt are closely linked with the dynamics of borrowing constraints. In fact, borrowing constraints must satisfy a dynamic consistency requirement: The value o...

“Borrowing” is a lingual process that is studied in diachronic linguistics. In this process a language borrows elements from another language. This process usually occurs in areas that two languages make contact with each other. In a dialect spoken in South Khorasan the language borrowing happens. Arabs living in this part of Iran probably have immigrated in the early centuries of Islam. In thi...

The article is devoted to the comparative description of youth vocabulary on example German and Ukrainian languages. At first stage study, key features have been singled out. It has established that this linguistic phenomenon a specific lexical subsystem national language, which most actively used by socio-age group “youth”. Compared standard it characterized informality, emotional connotation,...

For many households, paying lower borrowing costs is the surest, fastest way to increase net worth. Using administrative, credit bureau and survey data on U.S. credit cards, we find pervasive and systematic cross-individual variation in borrowing costs. Credit risk and product differentiation explain about one-third of that variation. The remaining riskadjusted dispersion can materially affect ...

In the context of a simple model of public good provision, we study the requirement on an allocation rule that it be immune to manipulation by augmenting one’s endowment through borrowing from the outside world. We call it open-economy borrowing-proofness (Thomson, 2009). We ask whether the Lindahl rule satisfies the property. The answer is yes on both the domain of quasi-linear economies and o...