This paper develops and tests a model of Japan’s household savings rate, based on the life-cycle hypothesis that the … primary motive for savings is provision for retirement. The paper shows that Japan’s high household savings rate in recent … improvements in public pension benefits and the aging of the population. It projects that the savings rate will decline …

This paper shows how growth and demography, two important determinants of the savings rate in the life-cycle approach …, explain a large part of the diversity in savings behavior in Asia across eight countries as well as over time. Inflation and … save. The paper also finds evidence in favor of the error-correction formulation under which the savings rate varies …

strengthening in domestic savings and rise in domestic investment permanent, auguring well for accelerated growth within a …

This paper examines the extent to which conclusions of cross-country studies of private savings are robust to allowing … for the possible heterogeneity of savings behavior across countries and the inclusion of dynamics. It shows that … neglecting heterogeneity and dynamics can lead to misleading inferences about the key determinants of savings behavior. The …