Center for Global Development / David Roodman’s Microfinance Open Book Blog: Randomized Test of Microcredit in Mongolia

A few years ago, Alaka Holla and Michael Kremer, the latter a leader in the randomization revolution, opened a CGD working paper with this interesting observation: “Over the past 10 to 15 years, randomized evaluations have gone from being a rarity to a standard part of the toolkit of academic development economics. We are now at a point where, at least for some issues, we can stand back and look beyond the results of a single evaluation to see whether certain common lessons emerge.” Their paper reviewed the evidence on how pricing affects uptake of health-related products such as bednets (is demand sensitive to price? is there a big difference in uptake between really cheap and free?). I think it was one of the first instances where enough randomized trials had been done on a question that one could begin to generalize with confidence. To read the full article, click hereRandomized Test of Microcredit in Mongolia

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