Abstract
The standard procedure of estimating an aggregate saving function is ill-suited to the task of identifying interest rate effects. Different forms of saving are affected by interest rates in a variety of ways, and only a disaggregated saving model is really capable of detecting these. In particular, in such a model one can pick up substitution between assets, a feature of saving behaviour that has been hitherto ignored in empirical work in France, in addition to the usual substitution between saving and consumption. In this paper a disaggregated saving model is estimated using French data. This reveals some new insights into recent saving behaviour in France.
This is a preview of subscription content, log in via an institution.
Buying options
Tax calculation will be finalised at checkout
Purchases are for personal use only
Learn about institutional subscriptionsPreview
Unable to display preview. Download preview PDF.
References
Artus, P. (1977), ‘Secteur financier’, in METRIC, Annales de 1’INSEE, no. 26–27 (Avril — Septembre).
Boskin, M. (1978), ‘Taxation, Saving and the Rate of Interest’, Journal of Political Economy, no. 2
Branson, W. H. and Klevorick, A. K. (1969), ‘Money Illusion and the Aggregate Consumption Function’, American Economic Review, 59
Chow, G. C. (1960), ‘Tests of Equality between Sets of Coefficients in Two Regressions’, Econometrica, 28.
David, J. P. and Scadding D. L. (1974), ‘Private Saving: Ultrarationality, Aggregation and Denison’s Law’, Journal of Political Economy, no. 2
Fisher, F. M. (1970), ‘Tests of Equality between Sets of Coefficients in Two Linear Regressions’, Econometrica, 38.
Freebairn, J. W. (1977), ‘Inflation and Stability of the Household Consumption-Savings Function’, Economic Record (June).
Green, E. W. and Johnson, S. L. (1976), ‘Factors Affecting Personal Savings and their Allocation to Financial Media’, in Parameters and Policies in the U.S. Economy, O. Ekstein (ed.) (North Holland).
Juster, F. T. and Wachtel, P. (1972), ‘Inflation and the Consumer’, Brookings Papers on Economic Activity (Washington DC).
Juster, F. T. and Wachtel, P. (1972), ‘A Note on Inflation and the Saving Rate’, Brookings Papers on Economic Activity (Washington DC).
Kessler, D. and Strauss-Kahn, D. (1979), ‘Saving and Inflation’, UNO Report (Geneva).
Sommermeyer, W. H. and Bannink, R. (1973), A Consumption-Savings Model and its Applications (Amsterdam: North-Holland).
Weber, W. E. (1970), ‘The Effects of Interest on Aggregate Consumption’, American Economic Review (September).
Weber, W. E. (1975), ‘Interest Rates, Inflation and Consumer Expenditures’, American Economic Review, (December).
Wright, C. (1967), ‘Some Evidence on the Interest Elasticity of Consumption’, American Economic Review (September).
Wright, C. (1969), ‘Saving and the Rate of Interest’, in Taxation of Income from Capital, Harberger, A. C. and Bailey, M. J. (Washington DC: Brooking Institute).
Author information
Authors and Affiliations
Editor information
Copyright information
© 1983 International Economic Association
About this chapter
Cite this chapter
Strauss-Kahn, D. (1983). Explaining the Composition of Household Saving Flows and their Relationship to Aggregate Saving in France. In: Modigliani, F., Hemming, R. (eds) The Determinants of National Saving and Wealth. International Economic Association Publications. Palgrave Macmillan, London. https://doi.org/10.1007/978-1-349-17028-9_8
Download citation
DOI: https://doi.org/10.1007/978-1-349-17028-9_8
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-349-17030-2
Online ISBN: 978-1-349-17028-9
eBook Packages: Palgrave Economics & Finance CollectionEconomics and Finance (R0)