Microfinance and Their Effects on Investment and Employment

Abstract

The contemporary microfinance have important implicants to job creation in both high poverty incidence and high rate unemployment cities, therefore, there is not sufficient condition in good job creation. These research presents a literary review about microfinance effects on investment and employment, where it explain the mentioned effects. Therefore in the concept of Schumpeter destruction creative dynamic it is not clear the long term economic benefices of microfinance, the employment creation could be explained by economic sclerosis only. The good job creation involves to political economy.