Why are saving rates in East Asia so high? Reviving the life cycle hypothesis

F. Gerard Adams () and Peter A. Prazmowski

Empirical Economics, 2003, vol. 28, issue 2, pages 275-289

Abstract: Why are saving rates in the East Asian countries so high? This paper represents an attempt to provide an explanation in terms of rapid income growth rates linked to the life cycle hypothesis under the modification that consumption standards rise as income does, and that they continue to rise well beyond the consumer's retirement age. Empirical tests support the relationship between saving rates and growth implied by the theory. This approach goes a long way toward explaining high saving rates in East Asia. Copyright Springer-Verlag Berlin Heidelberg 2003

Keywords: Key words: Life Cycles; Saving; Growth; Relative Income.; JEL classification: G11 (search for similar items in EconPapers)
Date: 2003
View citations in EconPapers

Downloads: (external link)
http://hdl.handle.net/10.1007/s001810200130 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:spr:empeco:v:28:y:2003:i:2:p:275-289

Ordering information: This journal article can be ordered from
http://link.springer.de/orders.htm

Access Statistics for this article

Empirical Economics is edited by Badi H. Baltagi, Heather M. Anderson and Bernd Fitzenberger

More articles in Empirical Economics from Springer
Series data maintained by Christopher F Baum ().