York University Researcher Adds New Study Findings to Research in Risk Management (Microinsurance and Economic Growth in Africa): Insurance – Risk Management

2023 OCT 25 (NewsRx) -- By a News Reporter-Staff News Editor at Insurance Daily News -- Researchers detail new data in risk management. According to news reporting from Toronto, Canada, by NewsRx journalists, research stated, “The reach and scope of microinsurance have expanded considerably over the last couple of decades.”

The news editors obtained a quote from the research from York University: “The literature on microinsurance focuses predominantly on its microeconomic impact. In contrast, I examine the contemporaneous and intertemporal effect of microinsurance on economic development using rich census data of microinsurance coverage in African economies. Estimates suggest that microinsurance affects economic growth both on impact and over time, with the magnitude of the intertemporal effect exceeding that of the contemporaneous effect. Evidence also suggests nonlinearities in the microinsurance-growth nexus. The marginal effect of microinsurance is a negative function of the starting level of development.”

According to the news editors, the research concluded: “For low-income countries, microinsurance has a robust positive effect on economic growth, both in terms of impact and over time. However, microinsurance may fail to leave a lasting trace on the aggregate economy in “richer” developing countries.”

For more information on this research see: Microinsurance and Economic Growth in Africa. Risks, 2023,11(10). (Risks - http://www.mdpi.com/journal/risks). The publisher for Risks is MDPI AG.

A free version of this journal article is available at https://doi.org/10.3390/risks11100175.

Our news journalists report that additional information may be obtained by contacting Tsvetanka Karagyozova, Department of Economics, York University, 1082 Vari Hall, 4700 Keele St., Toronto, ON M3J 1P3, Canada.

(Our reports deliver fact-based news of research and discoveries from around the world.)