Receipt Of Loans Research Articles

ECONOMIC CONCEPTS OF PUBLIC DEBT MANAGEMENT

In the conditions of a full-scale war between Russia and Ukraine, our state faces the question of attracting funds from both residents and non-residents to solve military and social problems, as a result of which the national debt is formed and its constant growth occurs. The receipt of macro-financial assistance (soft loans) from the EU had the greatest impact on the growth of public debt. The growth of Ukraine’s public debt was influenced by the receipt of loans under the programs of the IMF, the World Bank, the EBRD, and the government of Canada. The growth of the national debt determines the need to choose an effective method of managing the national debt, because the country’s debt security depends on the management of the national debt. The article analyzes the management of public debt from a theoretical and scientific point of view. The purpose of the work is to conduct an analysis of the economic category of «public debt management», its principles and stages. The main areas of activity of the concept of «public debt» are determined both from a regulatory and legal point of view, and from a scientific point of view; its classification by criteria is given. Public debt is an important economic category that reflects a set of economic relations in the field of attracting positional financial resources with the involvement of the financial deficit of the national sector of the economy on the basis of repayment, payment and maturity.

Does the financial support to rural areas help to reduce carbon emissions? Evidence from China

Governance of County Carbon Emissions (CCEs) plays a pivotal role as China endeavors to align the strategies of rural revitalization with the goals of carbon peak and neutrality. This study delves into the influence of Financial Support to Rural Areas (FSRA) on CCEs, employing data from 955 counties across China. The primary findings encompass: (i) FSRA markedly influences CCEs. Specifically, both the depth and breadth of FSRA exhibit an inverted U-shaped relationship with CCEs. However, the strength of FSRA has a decidedly negative correlation. (ii) Heterogeneity analysis indicates a more pronounced effect of FSRA on CCEs reduction in China's central and western counties compared to the eastern ones. Moreover, following the receipt of loans, farmers display a greater inclination towards emission reduction behaviors than do farm-related economic entities. (iii) Mechanistic analysis elucidates that while FSRA augments CCEs through a scale effect, it curtails CCEs via the composition and technique effects. (iv) Further analysis reveals that the reform policies of Rural Credit Cooperatives (RCCs) bolster the reduction in CCEs. This effect becomes increasingly evident as the age of Rural Commercial Banks (RCBs) increases. This research serves as an empirical foundation for the progression of green inclusive finance and the green transformation of rural areas.

Association of Receipt of Paycheck Protection Program Loans With Staffing Patterns Among US Nursing Homes

Staffing shortages in nursing homes (NHs) threaten the quality of resident care, and the COVID-19 pandemic magnified critical staffing shortages within NHs. During the pandemic, the US Congress enacted the Paycheck Protection Program (PPP), a forgivable loan program that required eligible recipients to appropriate 60% to 75% of the loan toward staffing to qualify for loan forgiveness. To evaluate characteristics of PPP loan recipient NHs vs nonloan recipient NHs and whether there were changes in staffing hours at NHs that received a loan compared with those that did not. This economic evaluation used national data on US nursing homes that were aggregated from the Small Business Administration, Nursing Home Compare, LTCFocus, the Centers for Medicare & Medicaid Services Payroll Based Journal, the Minimum Data Set, the Area Deprivation Index, the Healthcare Cost Report Information System, and the US Department of Agriculture Rural-Urban Continuum Codes from January 1 to December 23, 2020. Paycheck Protection Program loan receipt status. Staffing variables included registered nurse, licensed practical nurse (LPN), and certified nursing assistant (CNA) total hours per week. Staffing hours were examined on a weekly basis before and after loan receipt during the study period. An event-study approach was used to estimate the staffing total weekly hours at NHs that received PPP loans compared with NHs that did not receive a PPP loan. Among 6008 US NHs, 1807 (30.1%) received a PPP loan and 4201 (69.9%) did not. The median loan amount was $664 349 (IQR, $407 000-$1 058 300). Loan recipients were less likely to be part of a chain (733 [40.6%] vs 2592 [61.7%]) and more likely to be for profit (1342 [74.3%] vs 2877 [68.5%]), be located in nonurban settings (159 [8.8%] vs 183 [4.4%]), have a greater proportion of Medicaid-funded residents (mean [SD], 60.92% [21.58%] vs 56.78% [25.57%]), and have lower staffing quality ratings (mean [SD], 2.88 [1.20] vs 3.03 [1.22]) and overall quality star ratings (mean [SD], 3.08 [1.44] vs 3.22 [1.44]) (P < .001 for all). Twelve weeks after PPP loan receipt, NHs that received a PPP loan experienced a mean difference of 26.19 more CNA hours per week (95% CI, 14.50-37.87 hours per week) and a mean difference of 6.67 more LPN hours per week (95% CI, 1.21-12.12 hours per week) compared with nursing homes that did not receive a PPP loan. No associations were found between PPP loan receipt and weekly RN staffing hours (12 weeks: mean difference, 1.99 hours per week; 95% CI, -2.38 to 6.36 hours per week). In this economic evaluation, a forgivable loan program that required funding to be appropriated toward staffing was associated with a significant increase in CNA and LPN staffing hours among NH PPP loan recipients. Because the PPP loans are temporary, federal and state entities may need to institute sufficient and sustainable support to mitigate NH staffing shortages.

Implementation of the Simple Multi Attribute Rating Technique (SMART) Method on the Decision Support System for Determining Revolving Fund Capital Loan Receipt at the Cooperative Service

The purpose of writing this final project is to find or recommend recipients of revolving fund borrowings at the cooperative office, therefore a Decision Support System is needed for the recommendation for acceptance of revolving capital loans at the cooperative office using the smart method. The research method applied in this research is the development of the waterfall method. The waterfall method is a systematic and sequential information system development model Implementation of the Smar Method in a Decision Support System for determining the acceptance of a revolving fund capital loan at the cooperative service is an algorithm for processing data based on the weight of the criteria. The Samrt method is a method used to determine the acceptance of a revolving fund capital loan based on the weight of the criteria, at the Cooperative Service there are six criteria, namely, capital range, rate, number of members, cooperative status, legal entity, length of establishment, each decision is calculated based on the six criteria above. Decision Support System Recommendation Revolving fund loan acceptance is built using Visual Basic programming language and Microsoft Access database. The Decision Support System produced in this study can display cooperative data and the ranking of the results of receiving revolving fund loans based on existing data so that it can be used as a solution or consideration in the process of receiving revolving fund loans.

Agricultural Loan Utilisation among Beneficieries of Bank of Agriculture in Tafawa Balewa Local Government Area, Bauchi State, Nigeria

The study examined agricultural loan utilisation among borrowers of Bank of Agriculture in Tafawa Balewa Local Government Area, Bauchi State. It had the objective analyzing agricultural loan utilisation among borrowers. Data were collected from 48 randomly selected respondents through the instrument of questionnaire and analyzed using descriptive statistics (frequencies, ratio, percentages, and statistical means), T-test, regression and correlation analyses. The results showed that beneficiaries had a 0.6:1 ratio of loan receipt to credit applied for having received an average loan amount of N107, 250, being 60.4% of the loan application. It was found out that crop production beneficiaries utilised the loan on fertiliser, labour, farm assets, storage bags, agrochemicals and seed/seedlings, while animal production beneficiaries used the loan for stocking, feed, labour, drugs and livestock equipment. Regression result on the factors affecting loan utilisation showed that educational level, farming experience, and number of supervisions were statistically significant (P&lt;0.05), while timely loan receipt and interest rate were significant at (P&lt;0.01). Correlation between number of supervision visits and the loan amount put to agricultural use was statistically significant (P&lt;0.05). It was concluded that farmers made the best use of the amount of loan acquired. However, the loan volume granted to farmers was inadequate. It was therefore recommended that while more should be given in terms of loan volume to farmers, it should be followed by intense supervision as it was found to correlate positively with loan utilisation.

Did the Paycheck Protection Program and Economic Injury Disaster Loan Program get disbursed to minority communities in the early stages of COVID-19?

Social distancing restrictions and health- and economic-driven demand shifts from COVID-19 shut down many small businesses with especially negative impacts on minority owners. Is there evidence that the unprecedented federal government response to help small businesses—the Paycheck Protection Program (PPP) and the related COVID-19 Economic Injury Disaster Loans (EIDL)—which had a stated goal of helping disadvantaged groups, was disbursed evenly to minority communities? In this descriptive research note, we provide the first detailed analysis of how the 2020 PPP and EIDL funds were disbursed across minority communities in the country. From our analysis of data on the universe of loans from these programs and administrative data on employer firms, we generally find a slightly positive relationship between PPP loan receipt per business and the minority share of the population or businesses, although funds flowed to minority communities later than to communities with lower minority shares. PPP loan amounts per employee, however, are negatively related to the minority share of the population. The EIDL program, in contrast, both in numbers per business and amounts per employee, was distributed positively to minority communities.

The Racial Landscape of Fintech Mortgage Lending

ABSTRACT Little is known about racial patterns in fintech mortgage lending, despite evidence of racial disparities in the broader mortgage market. This study leverages 2015–2017 Home Mortgage Disclosure Act data to assess disparities in lending outcomes between White and non-White applicants and between neighborhoods of varying racial composition in the United States’ 200 largest metropolitan areas at fintech and traditional lenders. Results of a series of binary logistic regression models suggest disparities in rates of loan approvals between White and similarly qualified non-White applicants are substantively small overall, but lower at fintech lenders relative to traditional lenders, most substantially for Latinos. Non-White applicants are more likely to receive subprime terms relative to similarly qualified White applicants at both lender types, and disparities in rates of subprime loan receipt between Black and similarly qualified White applicants are greater at fintech lenders than traditional lenders. Neighborhood racial composition has a mixed but substantively small impact on approval rates at both lender types. However, both lender types distribute subprime credit to non-White neighborhoods at significantly higher rates than to White neighborhoods. Findings suggest fintech lending contributes to racial and spatial disparities in subprime mortgage lending and warrants increased scrutiny from regulators.

Using Machine Learning to Understand Veterans' Receipt of Loans in the Paycheck Protection Program

This paper provides the first quantitative investigation of the receipt of funds from the Paycheck Protection Program (PPP) among Veterans between April and June. We find that Veterans received 3.5% more loans and 6.8% larger loans than their counterparts (p<0.01), controlling for a wide array of zipcode characteristics and exploits within-zipcode variation in further robustness. We subsequently use machine learning to predict PPP loan receipt among Veterans, finding that characteristics about quality of the local Department of Veterans Affairs medical centers are predictive. We develop models to predict the number of PPP loans awarded to Veteran-owned, finding that the inclusion of local VA medical center characteristics adds almost as much explanatory power as the industry and occupational composition in an area and even more than the education, race, and age distribution combined. Our results suggest that VA medical centers can play an important role in helping Veterans thrive even beyond addressing their direct medical needs.

The influence of the Washington Consensus programme on the transitional economies of Eastern Europe - a firm-level analysis

This research explores the effectiveness of the Washington Consensus (WC) programme as a mechanism for improving national welfare in transition and emerging economies, using its internalisation by the European Union (EU) as a proxy. The results indicate that there is a positive benefit to firms with accession to the EU, leading to greater productivity improvement and performance advantages than in non-member states. Foreign direct investment directly benefitted those firms that became investees, with little evidence of spillovers to domestic companies. The vertical nature of the investment, with an emphasis on international production networks that utilise significant levels of foreign inputs, infers protection of intellectual property and a reduction in value added, with results indicating a failure to achieve an export multiplier. There is evidence of substantial benefits accruing to firms in receipt of loans, but the apparent paucity of their availability may imply market failure. The gains made by innovative firms do not appear to do justice to the initiatives undertaken and may indicate a dilution of national innovative capacity.

The Job Preservation Effects of Paycheck Protection Program Loans

The Paycheck Protection Program (PPP) covered in excess of 80% of eligible U.S. small businessemployment, supporting 51 million American jobs through the program’s close on August 8th,2020. Of those supported jobs, how many would have been lost in the absence of PPP loans?To answer this question, we propose an empirical strategy to identify the effects of PPP loanson county-level unemployment insurance claims. Specifically, we exploit variation in the timingof loan receipt caused by differences in local banking market structure across US counties. Onthe margin, we estimate that a 10 percentage point increase in eligible payroll covered by PPPresulted in a 1 to 2 percentage point smaller jump in weekly initial unemployment insurance(UI) claims, as a share of employment covered by UI. With a lag, that same 10 percentagepoint increase in PPP coverage resulted in an estimated 5 percentage point smaller increasein the insured unemployment rate. In order to compare our estimates with related studies,we calculate an aggregate employment effect of PPP loans. Moving from the 25th percentileto 75th percentile of counties by early PPP coverage causes an improvement in the insuredunemployment rate of over 12 percentage points, or, extrapolated nationally, 18.6 million jobs.We note meaningful caveats to interpreting this paper’s aggregate number; the same caveats thatapply to other papers evaluating PPP loans. This paper’s estimates are an order of magnitudelarger than previous evaluations of PPP, which have tended to find small employment effects ornone at all.

Resources, Time and Gender: Determinants of Women's Housework in Bahir Dar and nearby Rural Villages, Northwest Ethiopia

Women's disproportionate engagement in housework and its determinants has been relatively well studied in the developed countries. There is, however, a serious lack of such research for less developed countries. Unless the barriers to women's participation in development efforts are understood and addressed, poverty reduction programs may not succeed. This paper used data from a household survey of 502 married women to analyze determinants of women's hours of housework in light of available theories and employing a multivariate hierarchical linear regression model. Results show that, in line with theory and past research, time availability (measured as women's employment status) and resources or bargaining power (measured as years of schooling and loan receipt status), and gender ideology/display (measured as traditional gender perception/practice) have statistically significant negative associations with a woman's housework time. Similarly, traditional gender perception/practice as a measure of gender ideology/display has the expected positive association with a woman's housework time, despite the weaker statistical significance level. Also, among control variables, housework and non-housework performed by other members, number of young children, and household asset values have the expected associations to women’s hours of housework. National strategies aiming at poverty reduction may need to pay more attention to educate women, help them overcome shortage of working capital, and improve employment opportunities since these may also empower women and thereby minimize traditional gender ideology/display and having too many young children.

Evaluation of USDA's Broadband Loan Program: Impacts on broadband provision

Since 2002 the USDA's Broadband Loan Program has directed more than $1.8 billion in subsidized loans to help expand broadband access in under-served rural communities. Program eligibility criteria included having a population of 20,000 or fewer, having no prior access to broadband, and providing a minimum matching contribution of 15% by recipients of the loan. Loans were extended mainly to small telecommunications services firms at varying (subsidized) interest rates. We evaluate on the effectiveness of the Loan Program in increasing broadband availability in target locations. Specifically, we analyze whether loan receipt increases the number of broadband providers in a particular location, using various count panel methods. Our analysis is conducted at the ZIP code level over the period 1999–2008; it uses broadband provider data from the FCC's Form 477, and loan data from the Rural Utility Service (the implementing agency for the Broadband Loan Program). Results indicate that ZIP codes receiving broadband loans did in fact experience modest, statistically significant increases in the number of broadband providers vis-à-vis non-recipient locations; that average marginal effects on treated ZIP codes were approximately 0.092 additional broadband providers annually; and that these benefits accrued more towards rural locations than urban locations, in conformance with the intent of the program.

Of Austerity, Human Rights and International Institutions

Austerity measures in many European countries have led to the violation of social rights and widespread socio-economic malaise. In the case of countries subjected to conditionality imposed by external institutions for the receipt of loans, the resultant harms have highlighted responsibility gaps across a range of international institutions. Two recent legal developments come together to expose these gaps: Greece's argument in a series of cases under the European Social Charter that it was not responsible for the impact on the right to social security brought about by austerity measures since it was only giving effect to its other international obligations as agreed with the European Commission, the European Central Bank and the International Monetary Fund (the Troika), and the concern to emerge from the Pringle case before the European Court of Justice that European Union institutions could do outside of the EU that which they could not do within the EU – disregard the Charter of Fundamental Rights in the exercise of their tasks. That the Commission and ECB were in time answerable to international organisations set up to provide financial support adds an additional layer of responsibility to consider. Taking Greece as a case study and drawing on EU law, international human rights law, and the law on the international responsibility of states and of international organisations, this article looks to what we can expect in legal terms and as a matter of contemporary societal expectation when it comes to having international institutions respect human rights.

Finance and Growth at the Firm Level: Evidence from SBA Loans

We analyze linked databases on all Small Business Administration (SBA) loans, on all SBA lenders, and on all U.S. employers to estimate the effects of financial access on employment growth. Our methods combine regressions with matching on firm age, size, industry, year, and employment history, and with instrumental variables capturing ease of access to SBA lenders. The estimation results imply an increase of 3-4 jobs for each million dollars of loans, suggesting that credit constraints impede small business growth prior to loan receipt. We also investigate the variation in estimated employment effects for the SBA 504 versus 7(a) programs, and with respect to the business cycle, local credit conditions, and within-county versus non-SBA county-industry control firms. Finally, for loans issued over the 1992-2007 period, we estimate total job creation of 1.0-2.1 million and the government's cost per job of $8,200-$18,000 measured five years after the loan year.

Do SBA Loans Create Jobs? Estimates from Universal Panel Data and Longitudinal Matching Methods

Small Business Administration (SBA) loans have long been one of the most significant policy interventions in the U.S. affecting firm behavior, but little is known about their outcomes. This paper estimates the effects on employment using a list of all SBA loans linked to annual data on all U.S. employers from 1976 to 2010. Our methods combine firm fixed-effect regressions with matching on exact firm age, industry, year, and pre-loan size, and on propensity scores as a function of four years of employment history and other variables. The results imply positive average effects on loan recipient employment of about 25 percent, or 3 jobs at the mean. Including loan amount, we find little or no impact of loan receipt per se, but an increase of about 5.4 jobs for each million dollars of loans. Similar results for high-growth counties and industries suggest the estimates are not driven by differential demand conditions across firms. Exploiting variation in the distance of controls from recipient firms, we find only very small displacement effects. In all these cases, the results pass “placebo” and “pre-program” specification tests. Other specifications using only matching or only regression imply somewhat higher effects, but they fail these tests. The estimates facilitate calculations of total job creation by the SBA and of the cost per job created.

Do SBA Loans Create Jobs?

Small Business Administration (SBA) loans have long been one of the most significant policy interventions in the U.S. affecting firm behavior, but little is known about their outcomes. This paper estimates the effects on employment using a list of all SBA loans linked to annual data on all U.S. employers from 1976 to 2010. Our methods combine firm fixed-effect regressions with matching on exact firm age, industry, year, and pre-loan size, and on propensity scores as a function of four years of employment history and other variables. The results imply positive average effects on loan recipient employment of about 25 percent, or 3 jobs at the mean. Including loan amount, we find little or no impact of loan receipt per se, but an increase of about 5.4 jobs for each million dollars of loans. Similar results for high-growth counties and industries suggest the estimates are not driven by differential demand conditions across firms. Exploiting variation in the distance of controls from recipient firms, we find only very small displacement effects. In all these cases, the results pass placebo and pre-program specification tests. Other specifications using only matching or only regression imply somewhat higher effects, but they fail these tests. The estimates facilitate calculations of total job creation by the SBA and of the cost per job created.

Do SBA Loans Create Jobs? Estimates from Universal Panel Data and Longitudinal Matching Methods

This paper reports estimates of the effects of the Small Business Administration (SBA) 7(a) and 504 loan programs on employment. The database links a complete list of all SBA loans in these programs to universal data on all employers in the U.S. economy from 1976 to 2010. Our method is to estimate firm fixed effect regressions using matched control groups for the SBA loan recipients we have constructed by matching exactly on firm age, industry, year, and pre-loan size, plus kernel-based matching on propensity scores estimated as a function of four years of employment history and other variables. The results imply positive average effects on loan recipient employment of about 25 percent or 3 jobs at the mean. Including loan amount, we find little or no impact of loan receipt per se, but an increase of about 5.4 jobs for each million dollars of loans. Examining loans received only in high growth county-years (average growth of 22 percent), where most small firms should have excellent growth potential, we find similar effects, implying that the estimates are not driven by differential demand conditions across firms. Results are also similar regardless of distance of control from recipient firms, suggesting only a very small role for displacement effects. In all these cases, the results pass a “pre-program” specification test, where controls and treated firms look similar in the pre-loan period. Other specifications, such as those using only matching or only regression imply somewhat higher effects, but they fail the pre-program test.

English

This study was conducted to examine the effectiveness of community based organization (CBO) microcredit programmes of ‘Concern Worldwide’ in selected urban areas of Mymensingh district. The study is concerned with CBO microcredit use, assessing repayment performance, identifying the factors affecting repayment performance and assessing the impact of loan on livelihood improvement of the beneficiaries. Tabular and statistical analyses were applied for achieving the objectives. Overall, 84% of the total loan applied for was received by the respondents. Maximum amount of loan (89%) was received by rickshaw puller during the study period. The respondents used their maximum borrowed money productively. About 96, 94 and 98% of the total borrowed money were utilized purposively by small trading, saloon and rickshaw pulling respondents, respectively. Repayment performance of CBO microcredit programmes was highly satisfactory. Respondents’ income and loan receipt amount positively contributed to loan repayment, whereas respondents’ age, education, family size and forced saving negatively affected loan repayment. Almost all of the respondents mainly repaid their loan on time with the hope of getting loan in future. Self-consciousness and proper supervision by the CBO staff and Concern Worldwide field workers were the other important contributing factors for timely repayment of loan. Overall, the CBO microcredit programme was found to have significant positive effects on livelihood improvement of the poor beneficiaries. Key words: Effectiveness, Concern Worldwide, livelihood, community based organization (CBO) microcredit programme, Bangladesh.

Job Creation and Job Displacement: The Impact of Enterprise Board Investment on Firms in the UK

MONK S. (1991) Job creation and job displacement: the impact of enterprise board investment on firms in the UK, Reg. Studies 25, 355–362. This paper reports the results of research into the job creation impact of local government initiatives in the form of enterprise board investment in firms. The research studied a sample of firms in receipt of loans and share capital and estimated the net additional jobs resulting from the investment. An attempt is made to measure the ‘deadweight’, or extent to which the company would have formed or expanded anyway, and the local displacement and linkage effects. The study concludes that there is a net gain to the locality in terms of employment as a result of enterprise board activity. MONK S. (1991) La creation d'emplois et le deplacement de la main-d'oeuvre: l'impact de l'investissement octroye par la ‘Enterprise Board’ sur entreprises au Royaume-Uni, Reg. Studies 25, 355–362. Cet article fait un compte rendu des resultats de la recherche concernant l'impact sur la c...

Loan Receipt Agreements Revisited: Recognizing Substance Over Form

Loan Receipt Agreements Revisited: Recognizing Substance Over Form