Diversification of Risk and Saving*
نویسنده
چکیده
This paper provides evidence that domestic opportunities to share risk have contributed to lower rates of private saving. Two econometric procedures are used in the analysis: (1) traditional instrumental variables estimation and (2) dynamic panel methods. The results reveal a negative relationship between domestic opportunities to diversify risk and aggregate private saving rates in a cross-section of developing and industrial countries. JEL classification: O16; E21; E44
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