Entrepreneurship has become an important issue in the modern society where the business landscape consists of many small and medium sized firms. These firms have all been started by an entrepreneur who has identified and business idea and developed that idea into
This dissertation explores the problems of low productivity in the microenterprise sector and of low formal credit use, principally microfinance, by poor households. I propose vulnerability to risk, defined as the inability to smooth consumption across negative income shocks, as a new
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