In this paper, we study the long run relationship between saving and economic growth in Thailand using time series data for 1950-96. We distinguish between private saving and total saving in our paper. We find that there is a long run relationship between per capita GDP and total saving but not...

In the Solow model of economic growth, a clear connection is made between saving (rate) and economic growth. The conventional wisdom says: higher saving (rate) leads to higher (rate of) investment which in turn leads to higher economic growth. The presumption is that higher saving precedes...