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EPoD also oversees two research initiatives that focus on generating evidence around innovative solutions in financial access and the environment:
The Entrepreneurial Finance Lab Research Initiative studies the potential for using psychometric screening tools to enhance access to finance for small and medium-sized enterprises in the developing world. EPoD co-director Asim Khwaja pioneered the use of psychometric measures for predicting loan default, creating a low-cost way for financial institutions to screen entrepreneurs applying for loans who lack a credit history or traditional collateral.
Governance Innovations for Sustainable Development examines how policy innovations in environmental regulation can support growth and poverty reduction in low-income settings. The research umbrella includes a large-scale field experiment testing whether a new emissions trading system can lower abatement costs and air pollutant emissions in India, as well as other early-stage projects on aspects of regulation.