IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

The Decline in Private Saving Rates in the 1990s in OECD Countries: How Much Can be Explained by Non-Wealth Determinants?

  • Alain de Serres
  • Florian Pelgrin

The substantial decline in private-sector saving rates observed in several OECD countries in the late 1990s coincided in several cases with a sharp increase in household financial net worth. This was seen by many observers as evidence that the strong rise in equity and residential property prices during the late 1990s had been treated by households as a permanent increase in wealth, leading to an unsustainable drop in saving and raising fears of an eventual negative wealth effect. Applying estimation techniques for systems of dynamic panel equations, this paper looks at basic determinants of private saving for a sample of 15 OECD countries and finds that the sharp decline in saving observed after 1995 can be largely explained, even in a post-sample fashion, by fundamentals other than financial wealth. Among the determinants, the rise in public-sector saving is found to have contributed the most to the decline in private saving between 1995 and 2000. Based on this ... La baisse des taux d'épargne privée durant les années 1990s dans les pays de l'OCDE : La contribution des déterminants autres que la richesse? La baisse substantielle des taux d’épargne privée observée dans plusieurs pays de l’OCDE durant la fin des années 1990 a coincidé dans bien des cas avec une forte hausse de la richesse financière nette des ménages. Ce phénomène fut interprété par plusieurs analystes comme une indication que la forte augmentation des valeurs mobilières et immobilières durant cette période fut traitée par les ménages comme une hausse permanente de la richesse, entraînant une baisse non-soutenable de l’épargne, faisant ainsi surgir des craintes d’un éventuel effet de richesse négatif. A l’aide de l’application de techniques d’estimations pour un panel d’équations dynamiques, cette étude examine les principaux déterminants de l’épargne privée pour un échantillon de 15 pays de l’OCDE et trouve que la baisse de l’épargne observée après 1995 peutêtre largement expliquée par des déterminants fondamentaux autres que la richesse financière, y compris en période hors échantillon. Parmi les ...

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://dx.doi.org/10.1787/241254248236
Our checks indicate that this address may not be valid because: 403 Forbidden (http://dx.doi.org/10.1787/241254248236 [303 See Other]--> http://www.oecd-ilibrary.org/economics/the-decline-in-private-saving-rates-in-the-1990s-in-oecd-countries_241254248236). If this is indeed the case, please notify ()


Download Restriction: no

Paper provided by OECD Publishing in its series OECD Economics Department Working Papers with number 344.

as
in new window

Length:
Date of creation: 03 Dec 2002
Date of revision:
Handle: RePEc:oec:ecoaaa:344-en
Contact details of provider: Postal: 2 rue Andre Pascal, 75775 Paris Cedex 16
Phone: 33-(0)-1-45 24 82 00
Fax: 33-(0)-1-45 24 85 00
Web page: http://www.oecd.org
Email:


More information through EDIRC

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:oec:ecoaaa:344-en. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ()

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.