The Links between Saving Rates, Income and Uncertainty: An Analysis based on the 2011 Household Budget Survey

Céline Antonin

Economie et Statistique / Economics and Statistics, 2019, issue 513, 47-68

Abstract: [eng] Using data from the 2010-2011 Insee Household Budget Survey (enquête Budget de famille), the article examines the links between the saving rate of French households and their income. It shows that the saving rate of the richest households increases with permanent income: they save more over their lifecycle. In addition, the empirical analysis makes it possible to identify and quantify a precautionary motive linked to the risk of unemployment: the precautionary motive leads to a surplus of savings flows of approximately 6.4% for working households. Furthermore, the proportion of precautionary wealth linked to uncertainty over future income is comparable, around 6.3% of overall wealth. Finally, the significance of the precautionary motive depends on the level of income, following an inverted U shaped curve: it is almost twice as strong for households in the third and fourth quintiles than for the extreme income quintiles.

JEL-codes: C81 D12 D14 D31 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.insee.fr/en/statistiques/fichier/4467364/ES_513_Antonin_EN.pdf (application/pdf)

Related works:
Working Paper: The Links between Saving Rates, Income and Uncertainty: An Analysis based on the 2011 Household Budget Survey (2019)
Working Paper: The Links between Saving Rates, Income and Uncertainty: An Analysis based on the 2011 Household Budget Survey (2019)
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:nse:ecosta:ecostat_2019_513_3

DOI: 10.24187/ecostat.2019.513.2000

Access Statistics for this article

Economie et Statistique / Economics and Statistics is currently edited by Dominique Goux

More articles in Economie et Statistique / Economics and Statistics from Institut National de la Statistique et des Etudes Economiques (INSEE) Contact information at EDIRC.
Bibliographic data for series maintained by Veronique Egloff ().