Ayyagari, MeghanaJuarros, PedroMartinez Peria, Maria SoledadSingh, Sandeep2016-04-262016-04-262016-03https://hdl.handle.net/10986/24146This paper investigates the effect of access to finance on job growth in 50,000 firms across 70 developing countries. Using the introduction of credit bureaus as an exogenous shock to the supply of credit, the paper finds that increased access to finance results in higher employment growth, especially among micro, small, and medium enterprises. The results are robust to using firm fixed effects, industry measures of external finance dependence, and propensity score matching in a complementary panel data set of more than four million firms in 29 developing countries. The findings have implications for policy interventions targeted to produce job growth in micro, small, and medium enterprises.en-USCC BY 3.0 IGOPHYSICAL CAPITALLINE OF CREDITEMPLOYMENTCREDIT MARKETSCAPITAL MARKETSNONPROFIT ORGANIZATIONECONOMIC GROWTHCORPORATIONCAPITAL ACCUMULATIONFINANCINGOUTSTANDING LOANBANKING INDUSTRYINTERESTBIASINDUSTRYMEDIUM ENTERPRISESPRIVATE CREDITSTRATEGIESFINANCIAL RESOURCESRECESSIONMORTGAGEINFORMATION SHARINGECONOMIC POLICYLOANSOURCES OF FINANCECREDITWORTHINESSBORROWERSFIRM SIZEBRANCHCREDITORSINFLATIONINTERNATIONAL BANKCREDITORREGULATORY REFORMJOB LOSSESPUBLIC CREDITEXTERNAL FINANCEECONOMIC ACTIVITYACCESS TO LOANSME FINANCEINTERNATIONAL FINANCELABOR MARKETFINANCIAL INSTITUTIONCREDIT BUREAUSUNIONPRODUCTIVITYECONOMETRICSCORPORATE FINANCECRITERIAFINANCIAL INSTITUTIONSMARKETSDEBTFIRMFINANCING NEEDSFIXED ASSETLOANSLABORENTERPRISESBANK CREDITFINANCIAL SYSTEMFINANCEINFRASTRUCTUREBANKSINVESTMENT DECISIONSEXPENDITUREUNEMPLOYMENTCREDIT CONSTRAINTSFIRMSCREDIT REGISTRIESCAPITALACCESS TO FINANCECREDIT ACCESSVALUESUPPLY OF CREDITBANKCREDITEXPENDITURESENTERPRISECREDIT INFORMATIONPROPERTYPROPERTIESCREDIT REPORTINGEMPLOYMENT GROWTHJOB CREATIONFINANCIAL ACCESSMARKETCREDIT BUREAUFINANCIAL INFRASTRUCTUREFINANCIAL INFRASTRUCTURESGOVERNANCEINSTITUTIONAL REFORMACCESS TO CREDITECONOMIC DEVELOPMENTEXPANSIONLONG TERM FINANCINGFIXED ASSETSFINANCIAL DEVELOPMENTBANK BRANCHINVESTMENTFINANCIAL INTERMEDIATIONRISKCOLLATERALEQUALITYSALES GROWTHFINANCIAL MARKETSBUSINESS ENVIRONMENTCREDIT RELATIONSHIPSFINANCIAL STRUCTUREBORROWINGGREATER ACCESSLENDING SHOCKSLENDINGCAPITAL EXPENDITURESEXTERNAL FINANCINGSMALL FIRMSSUPPLIERSFIXED COSTBANKING CRISESFINANCIAL SYSTEMSLABOR MARKETSGOVERNMENTSSEEMORTGAGE MARKETCASH FLOWSTOCK MARKETSFINANCIAL DEPTHCREDIT MARKETSMEEMPLOYEESWorking PaperWorld Bank10.1596/1813-9450-7604