Saving, Dependency and Development

Allen C Kelley and Robert M Schmidt

Journal of Population Economics, 1996, vol. 9, issue 4, 365-86

Abstract: The widely-observed finding in the literature showing little or not relationship between population growth (and dependency) and saving requires modification based on panel and cross-section estimation of aggregate country data. While such a relationship is still weak in the hybrid Leff-type model, it is now found consistently over time and by stage of development in the Mason variable-growth life-cycle framework, where changes in demographic factors account for a notable part of saving.

Date: 1996
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