Adema, Yvonne; Pozzi, Lorenzo - Tinbergen Instituut - 2012
We investigate the cyclicality of the private savings to GDP ratio for a panel of 19 OECD countries over the period … 1971-2009. We find robust evidence that the private savings ratio is countercyclical. Three theories unambiguously predict … a higher private savings ratio during recessions: a Ricardian offset effect, the presence of credit constraints, and …