2016
DOI: 10.2139/ssrn.2735750
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The Impact of Microfinance on Pro-Social Behaviors: Experimental Evidence of Public Goods Contributions in Uganda

Abstract: We ask whether access to microfinance loans by the poor has a spillover effect on their pro-social behaviors. An experimental field study in southern, rural Uganda is conducted using free riding in public goods contributions as an assessment. We document higher levels of contributions by those who have previously received a microloan. This effect cannot be explained by changes in social norms, income effects, or sample selection bias. The results suggest that exposure to microfinance promotes social preference… Show more

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Cited by 4 publications
(3 citation statements)
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References 113 publications
(89 reference statements)
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“…Our study adds to existing literature looking at the role of behavioral spillovers (see, e.g., Dolan and Galizzi, 2015;McCannon and Rodriguez, 2016). Bruhin et al (2016) find evidence of interpersonal spillovers in blood donation, whereas we examine an intrapersonal spillover from the earnings environment to the donation decision.…”
Section: Introductionmentioning
confidence: 84%
“…Our study adds to existing literature looking at the role of behavioral spillovers (see, e.g., Dolan and Galizzi, 2015;McCannon and Rodriguez, 2016). Bruhin et al (2016) find evidence of interpersonal spillovers in blood donation, whereas we examine an intrapersonal spillover from the earnings environment to the donation decision.…”
Section: Introductionmentioning
confidence: 84%
“…The impact of microfinance interventions has been explored by Karlan (2005), Cassar, Crowley, and Wydick (2007). Giné et al (2010), andMcCannon andRodriguez (2016) and group-lending behavior across the world (Cassar and Wydick, 2010), and risk sharing in investments (D'Exelle and Verschoor, 2016). The Public Goods Game has been used to even evaluate the disruption from hurricanes (Whitt and Wilson, 2007) and even differences between northern and southern Italians (Bigoni et al, 2016).…”
Section: Introductionmentioning
confidence: 99%
“…SeeMcCannon and Rodriguez (2019a) for an analysis of Embrace It Africa's microfinance activities' spillover effect onto pro-sociality in the community and McCannon and Rodriguez (2019b) for the effect of orphanhood in the community.…”
mentioning
confidence: 99%