Browsing by Author "Reese, T. David"
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Item Minority-owned businesses, trade credit and discrimination : an empirical study of the impact of racial discrimination on access to trade credit for minority-owned vs. non-minority-owned firms(Southern New Hampshire University, 2007) Reese, T. David; Swack, Michael; Karush, Gerald; Buchele, RobertAccess to credit in particular and capital in general is a major determinant of the rate of both the formation and survival of small businesses. During the last thirty years a growing body of theoretical and empirical research has developed that explores how a firm’s access to credit varies by the business owner’s race and/or ethnicity and test specific hypotheses about why these variations might occur. The overwhelming majority of empirical studies show that on average African-American and Hispanic borrowers receive credit in amounts and on terms less favorable than those obtained by non-minority borrowers. Much of this research asks, "does racial discrimination in part account for the observed disparities in credit outcomes for various racial and ethnic groups?" While numerous studies have tested for the existence of discrimination in commercial bank lending to firms, to date, this author has found only two empirical studies that explore how access to trade credit varies with the race and/or ethnicity of a firm’s owner. This study begins the process of addressing this gap in the literature. This study explores if and how the amount of trade credit obtained by small businesses varies by the owner’s race and/or ethnicity. Our findings clearly shows that firms owned by African-American men, Hispanic white men and Asian-Americans on average receive significantly lower levels of trade credit relative to those owned by non-Hispanic white men. After controlling for industry, the owner’s human capital, the creditworthiness of the firm and the firm’s owner, this study finds no statistically significant evidence that the race/ethnicity of a firm’s owner explains the observed disparity in the levels of trade credit provided to firms owned by Hispanic whites and African-Americans. For firms owned by Asian-Americans, this study does find statistically significant evidence that race explains in part the observed disparities after controlling for industry, the owner’s human capital, the creditworthiness of the firm and the firm’s owner. This finding is noteworthy because many scholars suggest that Asian-Americans do not experience difficulties in accessing credit comparable to those experienced by other minorities. (Author abstract)Item New England funding reference guide(Southern New Hampshire University, 1993) Reese, T. DavidAs stated in the thesis project, "This project will produce a reference book (the "Guide") that catalogues all available financing programs offered by various New England based public and quasi-public benefit corporations for small business people, women and people of color (the "Project Focus Group"). The Guide will present the information in a format deemed accessible and convenient by members of the Project Focus Group. Over the course of the last 25 years, various governmental entities and corporations have created numerous financing programs for small business people, women and people of color. In most instances, the programs disburse a significantly lower level of funds than are "allocated" to the program. In other words, the programs are under used. Members of the Project Focus Group could benefit from these programs; however, individuals often find it difficult to obtain sufficient information about particular programs' applicability to their specific financing needs. If no means is found within the next three years to increase awareness among the Project Focus Group of various financing programs offered by various New England based public and quasi-public benefit corporations, these financing programs will remain under used by the Project Focus Group, increasing the risk that the "allocated" funds might be diverted to other uses further shrinking the pool of capital available to the Project Focus Group. The Guide will increase awareness among members of the Project Focus Group of the various financing program available to members of the Project Focus Group. (see Appendix I) The Guide will be printed and available by April 15, 1994." (Library derived description)