Brazilian Credit Union Member Groups: Borrower-dominated, Saver-dominated or Neutral Behavior?
Journal Title: BAR: Brazilian Administration Review - Year 2013, Vol 10, Issue 1
Abstract
Theoretical models concerning Credit Unions (CUs) suggest that the type of CU domination determines the way it allocates the monetary value it generates. A borrower- (saver-) dominated CU benefits borrower (saver) members at the expenses of saver (borrower) members, and a neutral CU equally benefits its member groups. This paper applies direct measure of monetary benefits to each member group (Patin & McNiel, 1991a) to test for the existence of dominated behavior in Brazilian CUs, and is the first to apply panel data regressions to identify the determinants of CUs behavior. We use a unique panel data with 40,664 observations taken from 533 CUs affiliated with the largest Brazilian cooperative network. Results indicate Brazilian CUs are dominated by borrowers, but behave close to neutrality. Panel regression estimates show that common or multiple bond type, size and overdue loans of a CU have no effect on its behavior, the greater the total amount of loans over social capital and adjusted equity over total assets are the more likely a CU is borrower dominated, and the greater the age and current operational expenses over total asset of a CU are the more likely a CU is saver dominated.
Authors and Affiliations
Bressan, Valéria Gama Fully; Braga, Marcelo José; Resende Filho, Moisés de Andrade; Bressan, Aureliano Angel
Keywords
Related Articles
- EP ID EP40537
- DOI -
- Views 249
- Downloads 0
Innovative Self-concept of Micro-entrepreneurs: Perception of Barriers and Intention to Invest
The research presented below examines micro-entrepreneur conditions that relate to their innovative self-concept and the effect of this self-concept on the perception of barriers to entrepreneurship and intention to inv...
What Accounts for Plural Forms of Governance Structure in the Same Industry or Firm – The Case of the Brazilian Electricity Industry
Governance structures are described as a spectrum with the market and vertical integration as its poles. During the past decades, the theoretical and empirical work aligned with New Institutional Economics sought to und...
Empowering and resisting in a sharing economy: Two sides of the same coin
Some can regard the sharing economy (SE) as a sustainable economy for allowing innovative (even disruptive) business opportunities and for encouraging new forms of consumption. There are, however, controversies about SE’...
Country Brand Equity: The Role of Image and Reputation
Country brand equity (CBE) is expanding in theory and in practice; however, little has been published on its conceptualization. By incorporating ‘reputation’ into the place brand equity construct at a country level, we p...
How Can We Define Mastery? Reflections on Learning, Embodiment and Professional Identity
In this article we reflect upon the knowledge production process through the body in the social-material arrangement of craft. Resorting to the embodiment paradigm, we aim to theoretically understand how someone reache...