The demand for savings, credit and insurance in a simple dynamic framework

, Policy briefs

Timothée DEMONT

Abstract

We present in this note a simple theoretical model, suitable to study the simultaneous demand for savings, credit and insurance by poor agricultural households. Simulations are reported for various prices of the three different financial instruments. They highlight a very low demand for insurance and suggest a complementarity between credit and insurance.

Demont, T. and V. Dequiedt.  "The demand for savings, credit and insurance in a simple dynamic framework", Ferdi, Policy brief B81, November 2013