Exploring Case Study 1

Test Yourself

Study Case Study 1 and answer the following questions.

2. What did Mala use her SHARE loan for?

3. Aside from giving some additional income, how did Mala’s investment add to the financial stability of the family?

4. Why didn’t Mala use the money she borrowed from SHARE to pay for the roof and her children’s shoes?

5. Who are the clients served by the SHARE loan program?

6. How does microfinance work?

7. How can microfinance, which works on a small, individual level, affect the larger economy?

8. This case study shows how microfinancing works in developing economies. Would industrial economies be able to benefit from a similar system? Explain your answer.

9. How do people get small business loans where you live? How well does the system work? Explain your answer.