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The impact of microcredit on women's empowerment: evidence from China

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  • Xia Li
  • Christopher Gan
  • Baiding Hu
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    Abstract

    The impact of microcredit on women's empowerment remains controversial, as documented in the microfinance literature. While some studies claim that microcredit helps women increase their income earning abilities, leading to greater power to overcome cultural asymmetries, others contend that small loans allocated to women are usually controlled by their spouses, which results in more severe subordination of women and leaves them more vulnerable to the patriarchy system within the household and/or at society level. This paper evaluates the empowerment impact of microcredit on rural women in China. Logistic regression is employed for empirical analysis and data are collected through a rural household survey. The results confirm that microcredit has a significant impact on five dimensions of women's empowerment, ranging from economic security to awareness of social/legal issues.

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    Bibliographic Info

    Article provided by Taylor & Francis Journals in its journal Journal of Chinese Economic and Business Studies.

    Volume (Year): 9 (2011)
    Issue (Month): 3 ()
    Pages: 239-261

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    Handle: RePEc:taf:jocebs:v:9:y:2011:i:3:p:239-261

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    Related research

    Keywords: microcredit; women's empowerment; rural China;

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    Cited by:
    1. Jing You & Samuel Annim, 2013. "The impact of microcredit on child education: quasi-experimental evidence from rural China," Brooks World Poverty Institute Working Paper Series 18313, BWPI, The University of Manchester.

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