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A Non-Parametric Approach to the Women Employment Through Microcredit Financing

Varol İyidoğan, Pelin (2019): A Non-Parametric Approach to the Women Employment Through Microcredit Financing. Published in: ICOMEP'19 AUTUMN PROCEEDING BOOK (December 2019): pp. 349-355.

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Abstract

The empowerment of women as a priority of economic development is a crucial issue for all economies, particularly for developing ones. Supporting employment is an inevitable aspect of women empowerment which enhances the socioeconomic conditions, nominately for the ones being a member of low-income households. As a developing country Turkey also tackles with the trouble of low labor force participation rate of women. More clearly, in 2018, the regarding rate was % 34 which is far more behind the developed economies. Furthermore, the rate of women entrepreneurship is low as well, that corresponds to around % 1.5 of employed women. Therefore, within the scope of gender equality, measures supporting the employment and entrepreneurship of women become the focus of economy and social policies. Regardingly, microcredit financing emerges as a policy solution for employment and other socio-economic struggle areas of women. In this context, this study aims to analyze the efficiency of microcredit schemes provided via Turkish Grameen Microfinance Program by employing a non-parametric approach, that is data envelopment analysis. The methodology enables to provide an efficiency ranking on the basis of input and output variables among the selected provinces of Turkey. The findings indicate that the microcredit programs in the East region of Turkey are implemented so as to ensure higher efficiency scores compared with others.

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