Dynamics from Lending-Based Prosocial Crowdfunding in Eastern Europe: Personal Versus Business on Funding Performance

• Type: Chapter or Part of a Book
• Date: 2024

Authors

Gama, APM (Author) Other; Correia, RE (Author) Other; Augusto, M (Author) Other; Duarte, F (Author) FEP

Book

Title: Accounting, Finance, Sustainability, Governance and Fraud

Pages: 395-421

ISBN: 2509-7873

Electronic ISBN: 2509-7881

Indexing

Scopus - 0 Citations

Other information

Authenticus ID: P-017-MJW

DOI: 10.1007/978-981-97-5388-8_17

Abstract (EN): This study examines the impact of personal versus business loans and soft information on the funding performance of prosocial peer-to-peer crowdfunding in European transition economies. Using 29,432 microloans collected from Kiva (2011¿2018 period) and a censored tobit regression on funding speed, we find that personal loans produce quicker funding speed. Lenders select projects perceived as having a greater impact on poverty alleviation. Business loans reveal a quasi¿U-shaped relationship between soft information and funding speed, particularly for loans allocated to traditional sectors. Lenders appear to be aware that business loans are rationality-based, whereas personal loans are charitable-based decisions. © The Author(s).

Language: English

Type (Professor's evaluation): Scientific

No. of pages: 26