Racial and Gender Discrimination in the Micro Firms Credit Market?: Evidence from Trinidad and Tobago

By D. Storey. 2004

133 citations recorded by the source corpus.

This paper examines the Market for loans from banks to micro-and small enterprises in Trinidad and Tobago. It tests for the presence of racial and gender discrimination. It takes the reported refusal to grant loans to groups,when all other indicators of credit-worthiness are taken into account, as evidence of discrimination. The paper distinguishes between Application and Denial Rates. It finds that,once all other indicators of credit-worthiness are taken into account, neither Application nor Denial rates differ significantly by gender. Reported Denial rates are, however, higher for Africans compared with other ethnic groups,implying the possible presence of discrimination.

Subfields: Accounting, Economics and Econometrics, Management of Technology and Innovation

View Paper: https://www.semanticscholar.org/paper/6e54e1dad17031ef5dadfec7bf339b9b56fa63ce

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In Accounting

1. O. Fatoki
2. A. Smit
3. Weixi Liu
4. Andrew Ledger
5. M. Treichel
6. Alexander Muravyev
7. R. Raj
8. Oleksandr Talavera

In Economics and Econometrics

1. Weixi Liu
2. Marc Cowling
3. Andrew Ledger
4. D. Raju
5. M. Treichel
6. Alexander Muravyev
7. A. Morrison
8. A. Smit

In Management of Technology and Innovation

1. O. Fatoki
2. A. Smit
3. Andrew Ledger
4. M. Treichel
5. R. Raj
6. Weixi Liu
7. Oleksandr Talavera
8. J. Scott

Citations in the corpus

• Gender, small firm ownership, and credit access: some insights from India (2018, background): “The absence of gender-based discrimination is also endorsed by Aterido et al. (2013) and Storey (2004).”
• Gender and Rural Non-Farm Entrepreneurship (2012, background): “6 Some studies suggest women indeed have more difficulty accessing finance than men (e.g. Brush 1992, Carter, 2000), while others detect no gender differences (Blanchflower et al., 2003, Storey, 2004, Cavalluzzo and Wolken, 2005).”
• Gender Equality, Poverty and Economic Growth (2007, background): “15 Storey 2004 for Trinidad and Tobago, Raturi and Swamy 1999 for Zimbabwe, Buvinic and Berger 1990 for Peru, and Baydas et al. 1994 for Ecuador).”
• Perceived credit constraints in the European Union (2012, unknown): “(Freel 2007, Parker and Van Praag 2006) or have focussed on the actual denial of bank loan requests (Levenson and Willard 2000; Storey 2004; Kim 2006).”
• Discrimination, Social Capital, and Financial Constraints: The Case of Viet Nam (2017, background): “For example, there is no evidence for gender discrimination in access to finance in Trinidad and Tobago (Storey, 2004).”
• Women-Owned businesses and access to bank credit: Evidence from three surveys since 1987 (2006, background): “…women- and men-owned businesses after controlling for business characteristics (Riding and Swift, 1990; Orser et al., 1994; Fabowale et al., 1995; Haines et al., 1999; Robb and Wolken, 2002; Storey, 2004), we found that gender does appear to be related to some aspects of access to bank financing.”
• The Impact of CFO Gender on Bank Loan Contracting (2013, unknown): “Empirically, most studies focus on small business firms and their results are mixed (e.g., Alesina, Lotti, & Mistrulli, 2008; Blanchflower, Levine, & Zimmerman, 2003; Storey, 2004).”
• Small business financing in the UK before and during the current financial crisis (2012, background): “However, the fact that prior performance is only marginally positively related to the supply of finance indicates that lenders may have realised that better access to finance could indeed enhance the firm’s future performance (Storey, 2004).”
• Business Starters and Credit Rationing (2008, methodology): “First, this study provides an analysis of a European country, while previous studies investigated either the US (e.g., Cavaluzzo and Cavaluzzo, 1998; Levenson and Willard, 2000) or developing countries (e.g., Honig, 1998;Raturi andSwamy, 1999; Biggs et al., 2002; Storey, 2004).”
• How do female entrepreneurs perform? Evidence from three developing regions (2011, unknown): “In contrast several studies (Cavalluzzo and Cavalluzzo 1998, Blanchflower et al 2003, Storey 2004 and Cavalluzzo and Wolken 2005) find no statistically significant effect of gender in access to finance.”
• Does a Manager's Gender Matter When Accessing Credit? Evidence from European Data (2017, unknown): “Data from Trinidad and Tobago used by Storey (2004) corroborates the conclusion that female-owned businesses are not hindered in the credit market.”
• Constraints to credit access by new SMEs in South Africa: A supply-side analysis (2011, result): “The results are consistent with the findings of Lefebvre and Lefebvre (2002) and Storey (2004).”
• Entrepreneurs' Gender and Financial Constraints: Evidence from International Data (2009, background): “luzzo et al. (2002), Blanch∞ower, Levine and Zimmerman (2003), Storey (2004) , Caval-”