Saving in the Twenty First Century
AbstractPopulation and labor force growth are expected to approach zero in the first half of the next century and this will tend to reduce further an already unsatisfactory level of aggregate saving. This paper investigates the determinants of aggregate saving under these demographic assumptions, with particular emphasis on workers’ strategies for dealing with the risk of outliving their resources after retirement. The permanent income and life cycle models represent different strategies for addressing this risk and are found to differ substantially in their implications for savings. Aggregate saving is found to be unfavorably affected by taxes on labor income, while the effect of taxes on property income is ambiguous. Public and private pension plans have a negative aggregate impact, even though employer plus employee contributions fully support workers’ post retirement benefits. Inheritance taxes have no effect in the cases considered.
Download InfoTo our knowledge, this item is not available for download. To find whether it is available, there are three options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page whether it is in fact available.
3. Perform a search for a similarly titled item that would be available.
Bibliographic InfoPaper provided by Wharton School Rodney L. White Center for Financial Research in its series Rodney L. White Center for Financial Research Working Papers with number 18-89.
Date of creation:
Date of revision:
Contact details of provider:
Postal: 3254 Steinberg Hall-Dietrich Hall, Philadelphia, PA 19104-6367
Phone: (215) 898-7616
Fax: (215) 573-8084
Web page: http://finance.wharton.upenn.edu/~rlwctr/
More information through EDIRC
You can help add them by filling out this form.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Thomas Krichel).
If references are entirely missing, you can add them using this form.