Does Access and Use OF Financial Service Smoothen Household Food Consumption?
AbstractThe study relies on Ghana’s Living Standard Measurement Survey to test the hypothesis of no relationship between credit and household food consumption expenditure. We use single stage and pooled least squares given the non-availability of national panel data in Ghana and lack of better instruments in the Living Standard data. While cognisant of the adverse effect of endogeneity we observe that our finding fails to provide enough evidence to reject the null hypothesis. This suggests that access to credit does not contribute to the smoothening of household consumption. This observation cuts across different sub-samples based on socio-economic classification. We recommend caution in propagating the ability of credit in smoothening consumption.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 29278.
Date of creation: 2011
Date of revision:
FINANCE; HOUSEHOLD; CONSUMPTION; INCOME;
Find related papers by JEL classification:
- I30 - Health, Education, and Welfare - - Welfare and Poverty - - - General
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
This paper has been announced in the following NEP Reports:
- NEP-AFR-2011-03-19 (Africa)
- NEP-AGR-2011-03-19 (Agricultural Economics)
- NEP-ALL-2011-03-19 (All new papers)
- NEP-MFD-2011-03-19 (Microfinance)
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