Related papers: Financial knowledge and borrower discouragement
This paper investigates the impact of objective financial knowledge, confidence in one's financial skills, and digital financial literacy on individuals' decisions to seek financial advice from robo-advice platforms. Using microdata from…
How do entrepreneurs act on their beliefs when probabilities of outcomes are unknown but subjectively perceived? We theorize that two distinct dimensions of ambiguity attitudes influence entrepreneurial action: ambiguity aversion - the…
Take up of microcredit by the poor for investment in businesses or human capital turned out to be very low. We show that this could be explained by risk aversion, without relying on fixed costs or other forms of non-convexity in the…
Financial literacy and financial education are important components of modern life. The importance of financial literacy is increasing for financial consumers because of the weakening of both government and employer-based retirement…
Understanding the role of information among disadvantaged students is crucial in explaining their investment decisions in higher education. Indeed, information barriers on the returns and the gains from completing college may explain a…
When developing software, it is vitally important to keep the level of technical debt down since it is well established from several studies that technical debt can, e.g., lower the development productivity, decrease the developers' morale,…
This research examines the empowerment of women entrepreneurs in the context of entrepreneurial financing in France. It explores the factors that allow some women entrepreneurs to access certain categories of external finance more easily.…
This article aims to explore an empirical approach to analyze the macroeconomicsdeterminants of default of borrowers. For this purpose, we have measured the impact of the adverse economic conditions on the degradation of the credit…
Financial misconceptions carry direct economic costs, from panic selling to equity market avoidance, yet they are notoriously resistant to correction. Traditional financial literacy interventions are constrained by cost, reach, and a…
Microfinance, despite its significant potential for poverty reduction, is facing sustainability hardships due to high default rates. Although many methods in regular finance can estimate credit scores and default probabilities, these…
Financial inclusion depends on providing adjusted services for citizens with disclosed vulnerabilities. At the same time, the financial industry needs to adhere to a strict regulatory framework, which is often in conflict with the desire…
The rapid dissemination of information through digital platforms has revolutionized the way we access and consume news and information, particularly in the realm of finance. However, this digital age has also given rise to an alarming…
We develop a structural econometric model to capture the decision dynamics of human evaluators on an online micro-lending platform, and estimate the model parameters using a real-world dataset. We find two types of biases in gender,…
Debt aversion can have severe adverse effects on financial decision-making. We propose a model of debt aversion, and design an experiment involving real debt and saving contracts, to elicit and jointly estimate debt aversion with…
The stock market has become an increasingly popular investment option among new generations, with individuals exploring more complex assets. This rise in retail investors' participation necessitates a deeper understanding of the driving…
In this article, I consider the issues of financial resource shortage, the limited possibility of attracting bank loans, and business risk. All these problems constrain the development of entrepreneurship. Objectives I aim to determine a…
It might be intuitive to expect that small or reimbursed financial loss resulting from credit or debit card fraud would have low or no financial impact on victims. However, little is known about the extent to which financial fraud impacts…
Financial distress of municipalities, although comparable to bankruptcy of private companies, has a far more serious impact on the well-being of communities. For this reason, it is essential to detect deficits as soon as possible.…
Cognitive biases exert a significant influence on human thinking and decision-making. In order to identify how they influence the occurrence of architectural technical debt, a series of semi-structured interviews with software architects…
Americans across demographic groups tend to have low financial literacy, with low-income people and minorities at highest risk. This opens the door to the exploitation of unbanked low-income families through high-interest alternative…