EconPapers    
Economics at your fingertips  
 

The Distribution of Household Savings in Germany

Späth Jochen () and Kai Schmid ()

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), 2018, vol. 238, issue 1, 3-32

Abstract: Against the ongoing assessment of the root causes of rising economic inequality in industrialized countries, analyses of the distribution of savings along the income and wealth distribution are of high interest. We analyze the concentration of household savings in Germany by estimating saving amounts, saving rates and shares in aggregate savings across income and wealth groups. Our calculations are based on the Sample Survey of Household Income and Expenditure (EVS), containing more than 40,000 households in Germany. We show that the concentration of savings is substantial: while the top income decile’s share in total savings reaches 60 percent, the lower half of the income distribution on average does not save at all. Across wealth groups the concentration of savings is somewhat less pronounced. We also look beyond the top income threshold underlying the EVS (18,000 euros of monthly net household income) and demonstrate that corrected saving rates for the top income groups are considerably higher than those derived from the EVS alone. Hence, the top income groups’ shares in aggregate savings exceed estimated shares solely based on EVS data, revealing a substantially more pronounced concentration of savings along the income distribution.

Keywords: household savings; saving rate; EVS; inequality; endogenous accumulation (search for similar items in EconPapers)
JEL-codes: D14 E21 (search for similar items in EconPapers)
Date: 2018
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
https://www.degruyter.com/view/j/jbnst.2018.238.is ... -0120.xml?format=INT (text/html)
For access to full text, subscription to the journal or payment for the individual article is required.

Related works:
Working Paper: The Distribution of Household Savongs in Germany (2016) Downloads
Working Paper: The Distribution of Household Savings in Germany (2016) Downloads
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: https://EconPapers.repec.org/RePEc:jns:jbstat:v:238:y:2018:i:1:p:3-32:n:3

Ordering information: This journal article can be ordered from
https://www.degruyter.com/view/j/jbnst

Access Statistics for this article

Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik) is currently edited by Peter Winker

More articles in Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik) from De Gruyter
Bibliographic data for series maintained by Peter Golla ().

 
Page updated 2019-08-20
Handle: RePEc:jns:jbstat:v:238:y:2018:i:1:p:3-32:n:3