Bancarization and cost of the social norm in Morocco

Despite an abundant literature on the relationship between the social norm and the preferences of individuals within a community, it does not prevent us from detecting considerable disagreement on the effects of the social norm on preferences. This article attempts to empirically estimate the relationship between the Islamic principles considered as a social norm prohibiting the interest rate and the possession of a bank account granting possibilities of interest credit in Morocco. An interesting remark in this country is to note a divergence among a majority of the population between the social norm and the holding of bank accounts offering the possibility of credit. Therefore, this empirical study can offer a considerable advantage in determining the reasons for this discrepancy. It is shown that the cost of the social norm of informing each other to exclude holders of interest-bearing bank accounts can constitute a brake on the application of the social norm. Indeed, Indeed, the larger the population and banking density, the more dispersed the information and the higher its cost, thereby, reducing the cost effect of the social norm in relation to the expected gains from holding the bank account. Our estimates show that the cost of the social norm on the holding of the bank account by Moroccans is low.

TARBALOUTI, Essaid; EL GRAA, Mohamed

Revue Française d'Economie et de Gestion (2023)

PDF sur le site de l’éditeur

Import OAI-PMH · Identifiant source : oai:ojs2.revuefreg.fr:article/1067