Women's Poverty and Entrepreneurship: Replicating Microloan Programs in the Developed World

Abstract

Microenterprisedevelopment is built on provision ofsmall loans to the poor, especially women, to alleviate poverty, and is currently promoted as apoverty-alleviation tool in developed countries. We survey the literature on rnicroloan programs in developing countries and identify t\vo general models, the minimalist n1icrocredit approach and the integrated microflnance model. This framework is used to review the microloan program experience in developed countries to gauge its fit into the models. We find that there are lessons to be learned from developing countries, but considerable economic research is required for rep1ication of programs in developed countries, and effective evaluation. (!30, 0 I)