Micro and Small Enterprises (MSEs) in developing countries are typically considered to be severely credit constrained. Additionally, high business risks may partly explain why capital stocks of MSEs remain low. This article analyzes the determinants of capital stocks of MSEs in poor economies focusing on credit constraints and risk. The analysis is based on a unique, albeit cross sectional but backward looking, micro data set on MSEs covering the...
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2012/05/01
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2013/05/24
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Credit constrained in risky activities? : the determinants of capital stocks of micro and small firms in Western Africa
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capital stock
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