Problem1 relative to credit cooperatives roscas have some, Ask an Expert

Economics

Problem

1. Relative to Credit Cooperatives, ROSCAs have some disadvantages.

a. Compare the main disadvantages of ROSCAs relative to credit cooperatives.

b. In light of such disadvantages, explain why ROSCAs are so common in nearly all low-income economies these days.

2. ROSCAs often are considered to be predecessors of today's microfinance institutions.

a. In what way have microfinance institutions resolved some of ROSCAs' limitations?

b. Assuming that microfinance institutions resolve the main limitations of ROSCAs, why have ROSCAs survived even in those countries which are thick with microfinance?

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Microeconomics, Economics

Category:- Microeconomics
Reference No.:- M92754686

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