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Ageing, Longevity and Savings: The Case of Morocco

Author

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  • Ghizlan Loumrhari

    (Mohammed V – Souissi University, FSJES Salé, Morocco.)

Abstract

In this paper we investigate empirically the relationship between population agings begins in Morocco and private savings. To do this, we use an overlapping generations model (OLG) using annual data from 1980 to 2010. Econometric estimates show that if the increase in the dependency ratio negatively affects the growth rate of savings, as predicted by the lifecycle theory, longevity to the contrary tends to stimulate the same savings. However, it seems that the first effect outweighs the second. Economic policies to promote private savings and incentives for households to have more children are needed to meet the challenge of severe aging population which will face Morocco in the coming decades.

Suggested Citation

  • Ghizlan Loumrhari, 2014. "Ageing, Longevity and Savings: The Case of Morocco," International Journal of Economics and Financial Issues, Econjournals, vol. 4(2), pages 344-352.
  • Handle: RePEc:eco:journ1:2014-02-11
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    References listed on IDEAS

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    Cited by:

    1. Findik Ozlem Alper & Ali Eren Alper & Okyay Ucan, 2016. "The Economic Impacts of Aging Societies," International Journal of Economics and Financial Issues, Econjournals, vol. 6(3), pages 1225-1238.

    More about this item

    Keywords

    Population aging; private saving; OLG model;

    JEL classification:

    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts

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