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Credit in rural India: a case study

Author

Listed:
  • Dreze, Jean
  • Lanjouw, Peter
  • Sharma, Naresh

Abstract

This paper presents a case study of credit transactions in Palanpur, a north Indian village. Drawing on detailed informtion from all borrowers and lenders in the village, we examine a number of issues related to the functioning of rural credit markets. These include the segmentation of the credit market, the achievements and failure of public lending institutions, the role of interest-free lending, the lending strategies of village moneylenders, social inequalities in access to credit, and the politics of rural credit, among others. An attempt is also made to relate these findings to those of other studies of credit in rural India.

Suggested Citation

  • Dreze, Jean & Lanjouw, Peter & Sharma, Naresh, 1997. "Credit in rural India: a case study," LSE Research Online Documents on Economics 6692, London School of Economics and Political Science, LSE Library.
  • Handle: RePEc:ehl:lserod:6692
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    File URL: http://eprints.lse.ac.uk/6692/
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    Cited by:

    1. Abhijit Banerjee & Sendhil Mullainathan, 2010. "The Shape of Temptation: Implications for the Economic Lives of the Poor," NBER Working Papers 15973, National Bureau of Economic Research, Inc.
    2. Jean Dr├Ęze & Geeta Gandhi Kingdon, 1999. "School Participation in Rural India," STICERD - Development Economics Papers - From 2008 this series has been superseded by Economic Organisation and Public Policy Discussion Papers 18, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
    3. Sunil Mitra Kumar, 2016. "Why does caste still influence access to agricultural credit?," WIDER Working Paper Series 086, World Institute for Development Economic Research (UNU-WIDER).
    4. repec:wbk:wbpubs:28971 is not listed on IDEAS

    More about this item

    Keywords

    India; Palanpur; rural credit markets;

    JEL classification:

    • Q14 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Finance
    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • G2 - Financial Economics - - Financial Institutions and Services

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