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. Using this model, I demonstrate how a positive investment-saving correlation can arise in a world with endogenous fiscal … capital mobility. This implies that the observed investment- saving comovement is not necessarily due to imperfect capital … mobility. The model has a testable implication: it predicts a lack of Granger causality from private saving to private …
Persistent link: https://www.econbiz.de/10005119430
-run bivariate relationship between the time series of investment and saving. Third, I also examine the short-run as well as the … cyclical relationships between the time series of investment and saving. The results reported in this paper indicate that there … is a strong long-run and cyclical relationship between investment and saving, and this relationship seems to be …
Persistent link: https://www.econbiz.de/10005408170
-run investment-saving correlation follows directly from the economy's dynamic budget constraint and this does not depend on the … annual and quarterly post-war U.S. data, I find that investment and saving are cointegrated in levels as well as in rates … degree of international capital mobility. Therefore, unless the budget constraint is violated, the time series of investment …
Persistent link: https://www.econbiz.de/10005119491
SAVING DOES NOT EQUAL INVESTMENT John Maynard Keynes confused economists and politicians all over the world when he … wrote, “Saving is necessary to equal investment” together with a few equations to confirm his idea and finally concluding … that S = I. There have been repeated discussions about how saving can equal investment, accidentally or with certainty. We …
Persistent link: https://www.econbiz.de/10005126256
of the Combrain will be to identify,plan&derive implementation methods for Basic Needs;Domestic Investment,Savings …
Persistent link: https://www.econbiz.de/10005118844
). Domestic investments should be from Domestic Savings. Domestic Technology should be manned by Domestic Manpower. These could …
Persistent link: https://www.econbiz.de/10005408439
linking Domestic Investment with Domestic Saving Potential (Entrepreneurial Background). Both these Circles are to be … =========================================================== CONCEPTS DERIVED :- 01. DOMESTIC INVESTMENTS THROUGH DOMESTIC SAVINGS – EXOGENOUS CIRCLE. (INDIVIDUAL / CORPORATE / GOVERNMENT …
Persistent link: https://www.econbiz.de/10005561298
Krol (1996) reports estimates of the saving-investment correlation, based on panel regressions, that are much lower … than commonly found in the literature. This note argues that this low estimate is not related to the panel estimation … technique, as Krol claims, but largely to the inclusion of Luxembourg in the sample. Panel estimation only reduces the …
Persistent link: https://www.econbiz.de/10005125535
Rogoff, JME 1995) and the 'saving-investment puzzle' (Feldstein and Horioka, EJ 1980). … 1993) imply a theory of consumption smoothing channels, and thus we build an empirical model on the theoretical foundations … of Sachs (1982)'s optimizing model in order to analyze the intertemporal smoothing role of saving components (fixed …
Persistent link: https://www.econbiz.de/10005125536
empirical evidence, based on panel data fixed effects and GMM estimation for 37 semi-industrialized economies, that supports the …
Persistent link: https://www.econbiz.de/10005062582