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We develop a micro-founded general equilibrium model with heterogeneous agents and three dimensions of financial inclusion: access (determined by a participation cost), depth (determined by a borrowing constraint), and intermediation efficiency (determined by a monitoring cost). We find that the...
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the least as an ironclad protection against poverty, if set high enough. It is hard to know with any certainty what a …-)simulation modelling are very encouraging. The estimated first-round effects on poverty are for the most part disappointing, especially in …
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