The German Savings Puzzle
Germany has one of the most generous public pension and health insurance systems of the world, yet private savings are high until old age. Savings remain positive in old age, even for most low income households. How can we explain what we might want to term the "German savings puzzle"? We provide a complicated answer that combines historical facts with capital market imperfections, housing, tax and pension policies. The first part of the paper describes how German households save, based on a synthetic panel of four cross sections of the German Income and Expenditure Survey ("Einkommens- und Verbrauchsstichproben") collected between 1978 and 1993. The second part links saving behavior with public policy, notably tax and pension policy.
|Date of creation:||2000|
|Date of revision:|
|Contact details of provider:|| Postal: D-68131 Mannheim|
Web page: http://www.vwl.uni-mannheim.de/institut/
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- Walliser, Jan & Winter, Joachim, 1998.
"Tax incentives, bequest motives and the demand for life insurance: evidence from Germany,"
Sonderforschungsbereich 504 Publications
99-28, Sonderforschungsbereich 504, Universität Mannheim;Sonderforschungsbereich 504, University of Mannheim.
- Walliser, Jan & Winter, Joachim, 1998. "Tax incentives, bequest motives and the demand for life insurance : evidence from Germany," Papers 99-28, Sonderforschungsbreich 504.
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CEPR Discussion Papers
2549, C.E.P.R. Discussion Papers.
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- Karen E. Dynan, 2000. "Habit Formation in Consumer Preferences: Evidence from Panel Data," American Economic Review, American Economic Association, vol. 90(3), pages 391-406, June.
- Axel Börsch-Supan & Anette Reil-Held & Ralf Rodepeter & Reinhold Schnabel & University of Mannheim & Germany, 2000. "Household Savings in Germany," Macroeconomics 0004053, EconWPA.
- Anette Reil-Held, 1999. "Bequests and Aggregate Wealth Accumulation in Germany," The Geneva Papers on Risk and Insurance - Issues and Practice, Palgrave Macmillan;The Geneva Association, vol. 24(1), pages 50-63, January.
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