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A path to a life of dreams?

Luoma, Sonja and Persson, Maria (2008)
Department of Economics
Abstract
This thesis analyses microcredit as a means to overcome the problem of inefficiently working financial markets in Uganda. Empowerment of women and the benefits of targeting women with microcredit are similarly discussed. The conclusion of the study is that microcredit provides a way of giving poor people access to credit through accepting untraditional collateral and reaching out to remote rural areas. However, obstacles such as lack of funds, underdeveloped complementary institutions, and corruption on management level in financial institutions prevent the microfinance sector from functioning efficiently. Women are found to face more market failures than men. It is argued that including women in economic activities is essential for growth... (More)
This thesis analyses microcredit as a means to overcome the problem of inefficiently working financial markets in Uganda. Empowerment of women and the benefits of targeting women with microcredit are similarly discussed. The conclusion of the study is that microcredit provides a way of giving poor people access to credit through accepting untraditional collateral and reaching out to remote rural areas. However, obstacles such as lack of funds, underdeveloped complementary institutions, and corruption on management level in financial institutions prevent the microfinance sector from functioning efficiently. Women are found to face more market failures than men. It is argued that including women in economic activities is essential for growth and development. Women’s and men’s spending patterns have not been found to differ as much as presumed in theory. There are indications of positive effects on children’s schooling when targeting women with microcredit, but it has not been proved that it will increase the wellbeing of the family. It is believed that access to credit has a positive impact on women’s empowerment. (Less)
Please use this url to cite or link to this publication:
author
Luoma, Sonja and Persson, Maria
supervisor
organization
year
type
M2 - Bachelor Degree
subject
keywords
empowerment, Uganda, Microcredit, Market failure, Economics, econometrics, economic theory, economic systems, economic policy, Nationalekonomi, ekonometri, ekonomisk teori, ekonomiska system, ekonomisk politik
language
English
id
1848813
date added to LUP
2008-12-19
date last changed
2011-06-01 12:43:55
@misc{1848813,
  abstract     = {This thesis analyses microcredit as a means to overcome the problem of inefficiently working financial markets in Uganda. Empowerment of women and the benefits of targeting women with microcredit are similarly discussed. The conclusion of the study is that microcredit provides a way of giving poor people access to credit through accepting untraditional collateral and reaching out to remote rural areas. However, obstacles such as lack of funds, underdeveloped complementary institutions, and corruption on management level in financial institutions prevent the microfinance sector from functioning efficiently. Women are found to face more market failures than men. It is argued that including women in economic activities is essential for growth and development. Women’s and men’s spending patterns have not been found to differ as much as presumed in theory. There are indications of positive effects on children’s schooling when targeting women with microcredit, but it has not been proved that it will increase the wellbeing of the family. It is believed that access to credit has a positive impact on women’s empowerment.},
  author       = {Luoma, Sonja and Persson, Maria},
  keyword      = {empowerment,Uganda,Microcredit,Market failure,Economics, econometrics, economic theory, economic systems, economic policy,Nationalekonomi, ekonometri, ekonomisk teori, ekonomiska system, ekonomisk politik},
  language     = {eng},
  note         = {Student Paper},
  title        = {A path to a life of dreams?},
  year         = {2008},
}