dc.contributor.advisor | | |
dc.contributor.author | Brudeseth, Jon | |
dc.date.accessioned | 2015-09-04T08:11:03Z | |
dc.date.available | 2015-09-04T08:11:03Z | |
dc.date.issued | 2015 | |
dc.identifier.uri | http://hdl.handle.net/11250/298684 | |
dc.description | Masteroppgave økonomi og administrasjon- Universitetet i Agder, 2015 | nb_NO |
dc.description.abstract | This study examines if and how leverage, delayed payments, and business profit influence life
satisfaction among microfinance clients in the informal economy in Ecuador. To examine
this, cross-sectional data is used. A dataset is used consisting of 752 micro entrepreneurs who
work within different industries and reside in 6 different provinces. Several different
statistical analyses are conducted with the main analysis being a hierarchical multiple linear
regression analysis. The analysis consists of 2 blocks where traditional variables often found
in happiness and life satisfaction studies are used as control variables in the 1st block, and the
2nd block consisting of exploratory variables. The results indicate that leverage and life
satisfaction have a concave relationship, with low and moderate amounts of leverage being
positively correlated with life satisfaction, and higher leverage being negatively correlated
with life satisfaction. Having delayed payments or not does not have any effect on life
satisfaction. The effects of business profits are less conclusive. This research suggests that
microfinance institutions and policymakers can direct attention towards the effect leverage
have on people’s lives. This can be important to the extent that MFIs can monitor or control
the borrowers leverage ratios to make sure they do not exceed a level that potentially can
decrease their life satisfaction. The findings also suggest that from a personal well-being
perspective, there is an optimum level of leverage where up to a certain point debt adds to the
personal well-being, after which incremental debt is not making entrepreneurs better off.
Thus, microfinance institutions should be wary of the leverage effect on the personal wellbeing
and life-satisfaction of entrepreneurs, and not push out loans above a certain maximum
point. | nb_NO |
dc.language.iso | eng | nb_NO |
dc.publisher | Universitetet i Agder ; University of Agder | nb_NO |
dc.subject.classification | BE 501 | |
dc.title | Microfinance and Life Satisfaction in Ecuador A study about financial determinants of life satisfaction among micro entrepreneurs in the informal economy | nb_NO |
dc.type | Master thesis | nb_NO |
dc.subject.nsi | VDP::Social science: 200::Economics: 210::Economics: 212 | nb_NO |
dc.source.pagenumber | 98 s. | nb_NO |