MaxPlanckResearch 4/2013Failing by Installment
With the financial markets broadening their international reach, there was hope that microcredit might alleviate poverty and lead to the emancipation of women in the “global South.” Sadly, however, there are no indications that microfinance has had a positive effect. On the contrary, the poor have suffered more discipline, while surplus labor is extracted from them even more than before. Worse still, the microfinance sector has triggered a series of devastating crises. Our author explains why we can’t use more debt to create social justice.