THE RELATION BETWEEN AGE STRUCTURE AND SAVING RATE OF TURKEY: 1968-2006


Ekici O., Yorulmaz Ö.

İstanbul Üniversitesi Sosyal Bilimler Dergisi, sa.1, ss.15-24, 2012 (Hakemli Dergi)

Özet

Determination of saving behavior can be sought as a main issue for economies and can be handled with an extensive perspective regarding the relation between other macro economic policy variables. In this paper, saving rate in Turkey with age structure dimension is examined. As economic theory supports, age explains savings rate. Within the context probable long run relation between them is based on Modigliani’s Life-cycle Model and in trying to shed light on the relation, cointegration tests were performed. The test results verify the relation and the empirical findings hold with life-cycle hypothesis of savings. That means, in Turkey, while stating any regulation to affect saving level, age structure influences are needed to be regarded.