why do you think that the share of formal sector credit in higher for the richer households compared to the poor households??
Answers
ʜᴇʏᴀ ᴍᴀᴛᴇ!!
ʜᴇʀᴇ ɪs ᴜʀ ᴀɴsᴡᴇʀ ⏬⏬
ᴛʜᴇ sʜᴀʀᴇ ᴏғ ᴛʜᴇ ғᴏʀᴍᴀʟ sᴇᴄᴛᴏʀ ᴄʀᴇᴅɪᴛ ɪs ʜɪɢʜᴇʀ ғᴏʀ ᴛʜᴇ ʀɪᴄʜᴇʀ ʜᴏᴜsᴇʜᴏʟᴅs ʙᴇᴄᴀᴜsᴇ ᴛʜᴇ ʀɪᴄʜᴇʀ ʜᴏᴜsᴇʜᴏʟᴅs ᴀʀᴇ ɪɴ ᴀ ʙᴇᴛᴛᴇʀ ᴘᴏsɪᴛɪᴏɴ ᴛᴏ ᴘʀᴏᴠɪᴅᴇ ᴄᴏʟʟᴀᴛᴇʀᴀʟ ᴀɴᴅ ᴏᴛʜᴇʀ ɴᴇᴄᴇssᴀʀʏ ᴅᴏᴄᴜᴍᴇɴᴛs ᴡʜɪᴄʜ ᴀʀᴇ ʀᴇϙᴜɪʀᴇᴅ ʙʏ ᴛʜᴇ ʙᴀɴᴋs ᴀɴᴅ ᴄᴏ-ᴏᴘᴇʀᴀᴛɪᴠᴇs. ʀɪᴄʜᴇʀ ʜᴏᴜsᴇʜᴏʟᴅs ʜᴀᴠᴇ ᴍᴇᴀɴs ᴛᴏ ᴇxᴇʀᴛ ᴘʀᴇssᴜʀᴇ ᴏɴ ʙᴀɴᴋs ᴀɴᴅ ᴄᴏ-ᴏᴘᴇʀᴀᴛɪᴠᴇs ᴛᴏ sᴀɴᴄᴛɪᴏɴ ʟᴏᴀɴs. ʀɪᴄʜᴇʀ ʜᴏᴜsᴇʜᴏʟᴅs ʜᴀᴠᴇ ɢʀᴇᴀᴛᴇʀ ᴄᴀᴘᴀᴄɪᴛʏ ᴛᴏ ʀᴇᴘᴀʏ ᴛʜᴇ ʟᴏᴀɴs ᴄᴏᴍᴘᴀʀᴇᴅ ᴛᴏ ᴛʜᴇ ᴘᴏᴏʀ ʜᴏᴜsᴇʜᴏʟᴅs.
Answer:
Poor people lend the amount from greedy money lenders at high rate of interest and poor become much poorer.
Explanation:
The poor household peoples are notably illiterate, so they lack in banking procedures, proper documentation and unaware about micro finance agencies. They are mostly landless labourers and daily wagers, so collateral is not possible for these penniless people. Richer household peoples are significantly literate and they much aware about documentation and collateral procedures.
hope it helps... plz plz plz mark me as brainliest plzz...