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Borrowing, as the proponents of microcredit point out, is expensive.
In particular, the proponents of microcredit propose that raising household incomes through microcredit and microcrenterprising could be an important strategy to a reduction of child labour (Blume & Breyer 2011).
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Surowiecki misses an important point of microcredit.
But there are still no stringent evaluations of microcredit programs generally viewed as credible by experts.
Around the same time, the United Nations declared 2005 the International Year of Microcredit.
"The Omidyar fund represents a faith-based belief in the market," Jonathan Lewis, of MicroCredit Enterprises, said.
"No country," he said, "has ever emerged from poverty because of microcredit.
Bangladesh was also the home of microcredit, tiny loans for the poorest.
This allowed the researchers to see clearly the effect of microcredit on an entire community.
"The influence of that interview was huge," says Christina Barrineau, then the director of the U.N. Year of Microcredit.
It's been the year of other things, of course, including the Year of Physics and the Year of Microcredit.
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