The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia

Despite the growing studies of Baitul Maal wa Tamwil (BMT) in Indonesia, few have empirically analyzed how BMT increases household welfare, primarily through credit for productive activities. This study aimed to analyze the impact of BMT availability in the community on household welfare. Considerin...

Descripción completa

Guardado en:

Detalles Bibliográficos
Autores principales:	Riska Dwi Astuti, Salman Samir
Formato:	article
Lenguaje:	EN
Publicado:	Universitas Muhammadiyah Yogyakarta 2021
Materias:	bmt welfare farmer households Economic theory. Demography HB1-3840
Acceso en línea:	https://doaj.org/article/9a5bebc6462d4ecd9fe8049895fc4d8e
Etiquetas:	Agregar Etiqueta Sin Etiquetas, Sea el primero en etiquetar este registro!

id	oai:doaj.org-article:9a5bebc6462d4ecd9fe8049895fc4d8e
record_format	dspace
spelling	oai:doaj.org-article:9a5bebc6462d4ecd9fe8049895fc4d8e2021-12-02T16:56:26ZThe Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia1411-99002541-550610.18196/jesp.v22i1.7836https://doaj.org/article/9a5bebc6462d4ecd9fe8049895fc4d8e2021-04-01T00:00:00Zhttps://journal.umy.ac.id/index.php/esp/article/view/7836https://doaj.org/toc/1411-9900https://doaj.org/toc/2541-5506Despite the growing studies of Baitul Maal wa Tamwil (BMT) in Indonesia, few have empirically analyzed how BMT increases household welfare, primarily through credit for productive activities. This study aimed to analyze the impact of BMT availability in the community on household welfare. Considering that credit is targeted for productive activities, the researchers limited the respondents to farmer households and households with non-farming business activities, amounting to 4642 and 2250, respectively. Utilizing longitudinal data from the Indonesian Family Life Survey (IFLS), the analysis was conducted employing the difference-in-difference (DiD) method. The results showed that BMT's existence in the community improved farmer households' mean welfare by 1.65%. After controlling for household and community characteristics, consistent results were obtained with a small decrease in the coefficient of 1.58%. Meanwhile, households with non-farming business activities were not affected by the existence of BMT in their community. Nevertheless, a positive coefficient of diff-in-diff indicated that BMT and welfare had a positive relationship even though it was not strong enough to be a contributor to the outcome.Riska Dwi AstutiSalman SamirUniversitas Muhammadiyah YogyakartaarticlebmtwelfarefarmerhouseholdsEconomic theory. DemographyHB1-3840ENJurnal Ekonomi & Studi Pembangunan, Vol 22, Iss 1, Pp 144-153 (2021)
institution	DOAJ
collection	DOAJ
language	EN
topic	bmt welfare farmer households Economic theory. Demography HB1-3840
spellingShingle	bmt welfare farmer households Economic theory. Demography HB1-3840 Riska Dwi Astuti Salman Samir The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia
description	Despite the growing studies of Baitul Maal wa Tamwil (BMT) in Indonesia, few have empirically analyzed how BMT increases household welfare, primarily through credit for productive activities. This study aimed to analyze the impact of BMT availability in the community on household welfare. Considering that credit is targeted for productive activities, the researchers limited the respondents to farmer households and households with non-farming business activities, amounting to 4642 and 2250, respectively. Utilizing longitudinal data from the Indonesian Family Life Survey (IFLS), the analysis was conducted employing the difference-in-difference (DiD) method. The results showed that BMT's existence in the community improved farmer households' mean welfare by 1.65%. After controlling for household and community characteristics, consistent results were obtained with a small decrease in the coefficient of 1.58%. Meanwhile, households with non-farming business activities were not affected by the existence of BMT in their community. Nevertheless, a positive coefficient of diff-in-diff indicated that BMT and welfare had a positive relationship even though it was not strong enough to be a contributor to the outcome.
format	article
author	Riska Dwi Astuti Salman Samir
author_facet	Riska Dwi Astuti Salman Samir
author_sort	Riska Dwi Astuti
title	The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia
title_short	The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia
title_full	The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia
title_fullStr	The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia
title_full_unstemmed	The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia
title_sort	impact of baitul maal wa tamwil on household welfare: empirical evidence from indonesia
publisher	Universitas Muhammadiyah Yogyakarta
publishDate	2021
url	https://doaj.org/article/9a5bebc6462d4ecd9fe8049895fc4d8e
work_keys_str_mv	AT riskadwiastuti theimpactofbaitulmaalwatamwilonhouseholdwelfareempiricalevidencefromindonesia AT salmansamir theimpactofbaitulmaalwatamwilonhouseholdwelfareempiricalevidencefromindonesia AT riskadwiastuti impactofbaitulmaalwatamwilonhouseholdwelfareempiricalevidencefromindonesia AT salmansamir impactofbaitulmaalwatamwilonhouseholdwelfareempiricalevidencefromindonesia
_version_	1718382815179964416

The Impact of Baitul Maal wa Tamwil on Household Welfare: Empirical Evidence from Indonesia

Ejemplares similares