Household Savings in Transition Economies
During the transition from central planning to market economies now under way in Eastern Europe, output levels first collapsed by 40 to 50 percent in most countries, then staged a modest recovery in the last two years. Longer-term revival of growth...
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| Format: | Working Paper |
| Language: | English en_US |
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World Bank, Washington, DC
2015
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| Online Access: | http://documents.worldbank.org/curated/en/2000/03/437904/household-savings-transition-economies http://hdl.handle.net/10986/22359 |
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okr-10986-223592021-04-23T14:04:07Z Household Savings in Transition Economies Denizer, Cevdet Wolf, Holger C. Ying, Yvonne ASSET MANAGEMENT BANK FAILURES BANKING CRISES CAPITAL FLOWS CENTRAL PLANNING COMPARATIVE ECONOMICS CONSUMERS CONSUMPTION SMOOTHING DECENTRALIZATION DEVELOPMENT ECONOMICS ECONOMIC ACTIVITY ECONOMIC BEHAVIOR ECONOMIC CHANGE ECONOMIC SYSTEMS EMPLOYMENT ENVIRONMENTAL PERFORMANCE EQUILIBRIUM EXCHANGE RATE EXPENDITURES FINANCIAL SECTOR FISCAL DEFICITS FIXED PRICES GDP GROWTH RATE HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD SURVEYS HOUSING INCOME INCOME DISTRIBUTION INCOME ELASTICITY INCOME INEQUALITY INCOME LEVELS INCOME RISK INFLATION INSURANCE INSURANCE MARKETS INTEREST RATES INTERMEDIATE GOODS LIQUIDITY MARKET ECONOMIES OVERVALUATION PENSIONS PERMANENT INCOME PERMANENT INCOME HYPOTHESIS PERSONAL SAVINGS PLANNED ECONOMIES POLITICAL ECONOMY POLLUTION POLLUTION CONTROL POVERTY REDUCTION PRIVATIZATION PRODUCTIVE ASSETS PROPENSITY TO SAVE REAL GDP REAL RATE OF INTEREST REAL WAGES SAVINGS SAVINGS BEHAVIOR SAVINGS RATES SAVINGS THEORIES SOCIAL ASSISTANCE TARGETING TRANSITION ECONOMIES TRANSPORT UNEMPLOYMENT WAGES WEALTH WILLINGNESS TO PAY During the transition from central planning to market economies now under way in Eastern Europe, output levels first collapsed by 40 to 50 percent in most countries, then staged a modest recovery in the last two years. Longer-term revival of growth requires a resumption of investment and thus, realistically, of domestic savings. To explore the determinants of household savings rates in transition economies, the authors studies matching household surveys for three Central European economies: Bulgaria, Hungary, and Poland. They find that savings rates strongly increase with relative income, suggesting that increasing income inequality may play a role in determining savings rates. Savings rates are significantly higher for households that do not own their homes or that own few of the standard consumer durables - possibly because, with no retail credit or mortgage markets, households must save to purchase houses and durables. The influence of demographic factors broadly matches earlier findings for developing countries. Perhaps surprisingly, variables associated with the households position in the transition process - including either sector of employment (public or private) or form of employment - do not play a significant role in determining savings rates. 2015-07-31T16:02:41Z 2015-07-31T16:02:41Z 2000-03 Working Paper http://documents.worldbank.org/curated/en/2000/03/437904/household-savings-transition-economies http://hdl.handle.net/10986/22359 English en_US Policy Research Working Paper;No. 2299 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Europe and Central Asia Bulgaria Hungary Poland |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ASSET MANAGEMENT BANK FAILURES BANKING CRISES CAPITAL FLOWS CENTRAL PLANNING COMPARATIVE ECONOMICS CONSUMERS CONSUMPTION SMOOTHING DECENTRALIZATION DEVELOPMENT ECONOMICS ECONOMIC ACTIVITY ECONOMIC BEHAVIOR ECONOMIC CHANGE ECONOMIC SYSTEMS EMPLOYMENT ENVIRONMENTAL PERFORMANCE EQUILIBRIUM EXCHANGE RATE EXPENDITURES FINANCIAL SECTOR FISCAL DEFICITS FIXED PRICES GDP GROWTH RATE HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD SURVEYS HOUSING INCOME INCOME DISTRIBUTION INCOME ELASTICITY INCOME INEQUALITY INCOME LEVELS INCOME RISK INFLATION INSURANCE INSURANCE MARKETS INTEREST RATES INTERMEDIATE GOODS LIQUIDITY MARKET ECONOMIES OVERVALUATION PENSIONS PERMANENT INCOME PERMANENT INCOME HYPOTHESIS PERSONAL SAVINGS PLANNED ECONOMIES POLITICAL ECONOMY POLLUTION POLLUTION CONTROL POVERTY REDUCTION PRIVATIZATION PRODUCTIVE ASSETS PROPENSITY TO SAVE REAL GDP REAL RATE OF INTEREST REAL WAGES SAVINGS SAVINGS BEHAVIOR SAVINGS RATES SAVINGS THEORIES SOCIAL ASSISTANCE TARGETING TRANSITION ECONOMIES TRANSPORT UNEMPLOYMENT WAGES WEALTH WILLINGNESS TO PAY |
| spellingShingle |
ASSET MANAGEMENT BANK FAILURES BANKING CRISES CAPITAL FLOWS CENTRAL PLANNING COMPARATIVE ECONOMICS CONSUMERS CONSUMPTION SMOOTHING DECENTRALIZATION DEVELOPMENT ECONOMICS ECONOMIC ACTIVITY ECONOMIC BEHAVIOR ECONOMIC CHANGE ECONOMIC SYSTEMS EMPLOYMENT ENVIRONMENTAL PERFORMANCE EQUILIBRIUM EXCHANGE RATE EXPENDITURES FINANCIAL SECTOR FISCAL DEFICITS FIXED PRICES GDP GROWTH RATE HOUSEHOLD CONSUMPTION HOUSEHOLD INCOME HOUSEHOLD SURVEYS HOUSING INCOME INCOME DISTRIBUTION INCOME ELASTICITY INCOME INEQUALITY INCOME LEVELS INCOME RISK INFLATION INSURANCE INSURANCE MARKETS INTEREST RATES INTERMEDIATE GOODS LIQUIDITY MARKET ECONOMIES OVERVALUATION PENSIONS PERMANENT INCOME PERMANENT INCOME HYPOTHESIS PERSONAL SAVINGS PLANNED ECONOMIES POLITICAL ECONOMY POLLUTION POLLUTION CONTROL POVERTY REDUCTION PRIVATIZATION PRODUCTIVE ASSETS PROPENSITY TO SAVE REAL GDP REAL RATE OF INTEREST REAL WAGES SAVINGS SAVINGS BEHAVIOR SAVINGS RATES SAVINGS THEORIES SOCIAL ASSISTANCE TARGETING TRANSITION ECONOMIES TRANSPORT UNEMPLOYMENT WAGES WEALTH WILLINGNESS TO PAY Denizer, Cevdet Wolf, Holger C. Ying, Yvonne Household Savings in Transition Economies |
| geographic_facet |
Europe and Central Asia Bulgaria Hungary Poland |
| relation |
Policy Research Working Paper;No. 2299 |
| description |
During the transition from central
planning to market economies now under way in Eastern
Europe, output levels first collapsed by 40 to 50 percent in
most countries, then staged a modest recovery in the last
two years. Longer-term revival of growth requires a
resumption of investment and thus, realistically, of
domestic savings. To explore the determinants of household
savings rates in transition economies, the authors studies
matching household surveys for three Central European
economies: Bulgaria, Hungary, and Poland. They find that
savings rates strongly increase with relative income,
suggesting that increasing income inequality may play a role
in determining savings rates. Savings rates are
significantly higher for households that do not own their
homes or that own few of the standard consumer
durables - possibly because, with no retail credit or mortgage
markets, households must save to purchase houses and
durables. The influence of demographic factors broadly
matches earlier findings for developing countries. Perhaps
surprisingly, variables associated with the households
position in the transition process - including either sector
of employment (public or private) or form of employment - do
not play a significant role in determining savings rates. |
| format |
Working Paper |
| author |
Denizer, Cevdet Wolf, Holger C. Ying, Yvonne |
| author_facet |
Denizer, Cevdet Wolf, Holger C. Ying, Yvonne |
| author_sort |
Denizer, Cevdet |
| title |
Household Savings in Transition Economies |
| title_short |
Household Savings in Transition Economies |
| title_full |
Household Savings in Transition Economies |
| title_fullStr |
Household Savings in Transition Economies |
| title_full_unstemmed |
Household Savings in Transition Economies |
| title_sort |
household savings in transition economies |
| publisher |
World Bank, Washington, DC |
| publishDate |
2015 |
| url |
http://documents.worldbank.org/curated/en/2000/03/437904/household-savings-transition-economies http://hdl.handle.net/10986/22359 |
| _version_ |
1764450643019300864 |