Abstract/Summary
This study uses panel
data collected in 11 villages in 2011-14 to investigate the impact of
microcredit on paddy harvest and income, input costs for paddy production, and self-employment
income. The panel data make it possible to implement difference-in-differences
and triple-differences estimators. The results show that credit participants have
a 26.1 percent increase in paddy income, a 68.9 percent increase in paddy harvest
and a 26.5 percent increase in expenditure on farm inputs. Poorer households
benefit more from credit participation. Participants can also acquire more
nonland durable assets than non-participants, particularly agricultural assets.
There is weak evidence showing that female participants benefit more from
access to credit than their male counterparts.
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