some economists suspect that one of the reasons that entrepreneur in developing countries grow so slowly?

entrepreneur
is that they do not have well developed financial market. does these makes sense. discus

3 Responses to some economists suspect that one of the reasons that entrepreneur in developing countries grow so slowly?

  1. Wood J says:

    From what I have learned and documentaries I have seen, I believe it is because it is very hard to get a meaningful loan (amount) with a low interest rate. It makes getting loans difficult so many entrepreneurs cannot get the capital to start their businesses. I hope that makes sense. :)

  2. meg says:

    Entrepreneurs in developing countries have difficulty getting loans which hurt development, but it is not obvious that it is the fault of the financial markets, as such. The US grew and became industrialized with relatively primitive financial markets. A lot of the “savings” from third world countries is invested in the US because it is seen as safer and or more profitable. Some economists have suggested that it is the differential in the exchange rates and the purchasing power of the dollar and the country’s currency in the local markets that is responsible.

  3. fleur says:

    true like in my country,so many people could start up businesses but they lack capital which they cannot easily get due to lack of financial markets