EconStor >
United Nations University (UNU) >
World Institute for Development Economics Research (UNU-WIDER), United Nations University >
WIDER Research Papers, United Nations University (UNU) >

Please use this identifier to cite or link to this item:

http://hdl.handle.net/10419/45093
  
Title:Vulnerability, trust and microcredit: The case of China's rural poor PDF Logo
Authors:Turvey, Calum G.
Kong, Rong
Issue Date:2008
Series/Report no.:Research paper / UNU-WIDER 2008.52
Abstract:This paper investigates the economic conditions of rural households in China. Historical survey data indicate that over 80 per cent of rural households earn less than 4,500 yuan in net disposable income each year, that for the vast majority of rural households disposable income is insufficient to meet food consumption needs, and that in terms of economic growth rural households are receiving an ever decreasing percentage of China's growing economy with rural household incomes being only 31 per cent of urban household income in 2004. To reduce vulnerability and food insecurity, this paper investigates the role of microcredit in China. It is argued that in China the conventional wisdom is to provide credit using traditional means, but we provide a model that shows how a microcredit market based on trust can co-exist with a commercial collateral-based market.
Subjects:equilibrium
game theory
rural
credit
China
JEL:O13
O16
O19
ISBN:978-92-9230-100-2
Document Type:Working Paper
Appears in Collections:WIDER Research Papers, United Nations University (UNU)

Files in This Item:
File Description SizeFormat
571433456.pdf306.67 kBAdobe PDF
No. of Downloads: Counter Stats
Download bibliographical data as: BibTeX
Share on:http://hdl.handle.net/10419/45093

Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.