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Manuel Funke

The Development of Saving Rates Among U.S. Income Groups, 1980-2010




   
Страниц: 66
Формат: 148x210
credit.
However, regarding the studies done so far, it is to say that no consensus concerning the underlying reasons of the saving reduction is achieved at all. While scholars have analyzed the many different aspects of the savings drop, an agreement on the fundamental causes is still out of reach. The falling saving rate within the past 25 years of economic expansion is unique in history: while former patterns of household saving could be explained by severe political and macroeconomic changes, the recent substantial drop in times of economic prosperity seems more difficult to investigate.Comparable developments are hardly to be found in U.S. history as well as in other countries' statistics.Moreover, mainstream economic concepts and a major part of evidence suggest a positive correlation between income, wealth and saving. Hence, it seems striking that the decline in savings took place in a period of overall economic growth,where incomes and in particular the wealth-to-income has been growing. The purpose of this paper is to estimate how different income and wealth levels]]>
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