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The effects of demographic structures on savings in Eastern European countries

Tuğba Akin () and Kıymet Yavuzaslan ()
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Tuğba Akin: Aydın Adnan Menderes University, Aydin, Turkey
Kıymet Yavuzaslan: Aydın Adnan Menderes University, Aydin, Turkey

Eastern Journal of European Studies, 2019, vol. 10(1), 93-114

Abstract: The impacts of demographic factors on savings need to be investigated in order to accurately analyse the saving differences between the countries. The propensity of countries for saving is determined by their demographic structures besides the decision-makers’ preferences related to the economy. Eastern European Countries generally have a common historical background; they have been exposed to many changes both politically and economically over time. In this study, the Eastern European Countries’ national savings were analysed for the 1996-2017 period by using panel data analysis methods. According to the findings, in Eastern European countries there was a positive relationship between female labour force participation rate, urbanization rate, population growth rate, and savings, while the old and young dependency rates have a negative impact on savings. A negative and statistically insignificant relationship was found between life expectancy rate and savings. This paper is the first research which could provide an explanation for these countries’ savings behaviour in relation to demographic factors and may thus provide policymakers with some ideas.

Keywords: Eastern European countries; saving; demographic structure; panel data (search for similar items in EconPapers)
Date: 2019
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