Proceedings of the 23rd International Academic Conference, Venice

HOUSEHOLD SAVINGS IN TURKEY: EVIDENCE FROM MICRODATA

EGEMEN İPEK, OZLEM SEKMEN

Abstract:

Since 2000 in Turkey, there has been a great growth the share of the household savings in private savings. Although there are exist huge literature related to determinants of saving rate rely on macro level data, these studies have limitation on reflect of household saving behavior because of ommiting heterogenities among households. For this reason, determining the effect of heterogenity of households on saving behaviour has great importance for representing main factors behind on households’ saving behaviour. The main purpose of this study is to investigate the demographic determinants of household savings and examine the effect of these differences on saving rates in Turkey the period between 2003-2012 using Household Budget Surveys (HBS) providing by TURKSTAT. In this context, the research methodology consist of two-stage (i) modeling and analysis the determinants of savings using OLS method, (ii) examining the year effects via pooled OLS which allows to control for heteroscedasticity. According the findings revealed that method, demographics differences such as householder’s age , gender and education level, household size have notable role for explaining saving behavior of households.

Keywords: Household savings, Demographics, Heterogenity, Turkey

DOI: 10.20472/IAC.2016.023.040

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