{
  "title": "Bankruptcy Technology, Finance, and Entrepreneurship",
  "publication": "IMF Working Papers, August 10, 2017",
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  "summary": "Using an overlapping-generations growth model featuring financial intermediation, I find that inefficiencies in technology to deal with private debt distress (bankruptcy technology), and obstacles to entrepreneurship (high costs of doing business) have significant negative effects on the income per",
  "sections": [
    {
      "heading": "Summary",
      "content": "- Author: Nelson Sobrinho\n- Publication date: August 10, 2017\n- Paper type: IMF Working Papers, Working Paper No. 2017/188\n- Central finding: Using an overlapping-generations growth model featuring financial intermediation, inefficiencies in bankruptcy technology and obstacles to entrepreneurship have significant negative effects on income per capita and welfare in developing countries.\n- Interaction effect: These inefficiencies may interact in perverse ways, further amplifying the negative effects in the long run.\n- Policy rationale: Strong rationale for structural reforms that simultaneously speed up resolution of private sector insolvency, improve creditor protection, and eliminate obstacles to entrepreneurship."
    },
    {
      "heading": "Model and approach",
      "content": "- Framework: Overlapping-generations growth model featuring financial intermediation.\n- Key mechanisms studied:\n  - Inefficiencies in technology to deal with private debt distress (bankruptcy technology).\n  - Obstacles to entrepreneurship (high costs of doing business).\n- Outcome measures: Income per capita and welfare of developing countries."
    },
    {
      "heading": "Main findings",
      "content": "- Bankruptcy technology inefficiencies have significant negative effects on income per capita.\n- High costs of doing business (obstacles to entrepreneurship) significantly reduce welfare and income per capita.\n- The interaction between poor bankruptcy technology and entrepreneurship obstacles can amplify long-run negative outcomes."
    },
    {
      "heading": "Policy recommendations",
      "content": "- Speed up the resolution of private sector insolvency.\n- Improve creditor protection.\n- Eliminate obstacles to entrepreneurship.\n- Implement structural reforms that address bankruptcy technology and entrepreneurship barriers simultaneously."
    },
    {
      "heading": "Subject and keywords",
      "content": "- Subject: Consumption, Credit, Loans, Self-employment, Technology\n- Keywords: cost of capital, rate of return, WP\n\n---\n\n Content in this bundle\n\n- Bankruptcy Technology, Finance and Entrepreneurship, WP/17/188, August 2017\n  - Bankruptcy Technology, Finance and Entrepreneurship, WP/17/188, August 2017 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - Bankruptcy Technology, Finance and Entrepreneurship, WP/17/188, August 2017 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2017/08/10/bankruptcy-technology-finance-and-entrepreneurship-45094"
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    "Authors: Nelson Sobrinho",
    "Published: August 10, 2017",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781484314210.001",
    "Author: Nelson Sobrinho",
    "Publication date: August 10, 2017",
    "Paper type: IMF Working Papers, Working Paper No. 2017/188",
    "Central finding: Using an overlapping-generations growth model featuring financial intermediation, inefficiencies in bankruptcy technology and obstacles to entrepreneurship have significant negative effects on income per capita and welfare in developing countries.",
    "Interaction effect: These inefficiencies may interact in perverse ways, further amplifying the negative effects in the long run.",
    "Policy rationale: Strong rationale for structural reforms that simultaneously speed up resolution of private sector insolvency, improve creditor protection, and eliminate obstacles to entrepreneurship.",
    "Framework: Overlapping-generations growth model featuring financial intermediation.",
    "Key mechanisms studied:",
    "Outcome measures: Income per capita and welfare of developing countries.",
    "Bankruptcy technology inefficiencies have significant negative effects on income per capita.",
    "High costs of doing business (obstacles to entrepreneurship) significantly reduce welfare and income per capita.",
    "The interaction between poor bankruptcy technology and entrepreneurship obstacles can amplify long-run negative outcomes.",
    "Speed up the resolution of private sector insolvency.",
    "Improve creditor protection.",
    "Eliminate obstacles to entrepreneurship.",
    "Implement structural reforms that address bankruptcy technology and entrepreneurship barriers simultaneously.",
    "Subject: Consumption, Credit, Loans, Self-employment, Technology",
    "Keywords: cost of capital, rate of return, WP",
    "**Bankruptcy Technology, Finance and Entrepreneurship, WP/17/188, August 2017**"
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