Gupta, Manash Ranjan; Chaudhuri, Sarbajit - In: Economica 64 (1997) 254, pp. 331-43
The paper presents a theory of interest rate determination on informal credit in backward agriculture when there is a market for formal credit. The farmer has to bribe the official of the formal credit agency in order to get formal credit. The official and the moneylender play a non-cooperative...