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Poor people tends to save naturally, even saving under the mattress is more healthy way to smooth incomes than loans. Poor people has two alternatives : to produce more or to save (spending less in good times). Both are not opposed as in big business, because the creation of revenues in micro business are not so tied with capital as with capacity to sell. A typical micro business has huge margin and very few sales so, loans are often useless, even harmful to small business
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