DEMAND FOR AGRICULTURAL LOANS: A THEORETICAL AND ECONOMETRIC ANALYSIS OF THE PHILIPPINE CREDIT MARKET / LA DEMANDE DE PRÊTS AGRICOLES: UNE ANALYSE THÉORIQUE ET ÉCONOMIQUE DU MARCHÉ DE CRÉDIT AUX PHILIPPINES

Estimates of loan demand are often biased and inefficient due to data truncation and the use of data on individual loans that suffers from non-identifiability ofaggregate demand and supply factors. This paper develops a framework to measure loan demand as a sum of all loans received during a period and applies a type three Tobit model to estimate it among farm households in the Philippines. The results suggest that the framework using total loans to estimate loan demand provides a statistically better fit that loan demand estimated using data on individual loans. LA DEMANPE OE PRETS AGRICOLES: UNE ANALYSE THEORIQUE ET ECONOMIQUE DU MARCHE DE CREDIT AUX PHILIPPINES.