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Secular Movements in U.S. Saving and Consumption

Author

Listed:
  • Kaiji Chen

    (Economics University of Oslo)

  • Ayse Imrohoroglu
  • Selahattin Imrohoroglu

Abstract

The U.S. national saving rate has been declining since the 1960s while the share of consumption in output has been increasing. We explore if a standard growth model can explain the secular movements observed in this time period. Our quantitative findings indicate that the standard neoclassical growth model is able to generate saving rates and consumption that are remarkably similar to the data during 1960-2004

Suggested Citation

  • Kaiji Chen & Ayse Imrohoroglu & Selahattin Imrohoroglu, 2006. "Secular Movements in U.S. Saving and Consumption," 2006 Meeting Papers 154, Society for Economic Dynamics.
    • Handle: RePEc:red:sed006:154
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    References listed on IDEAS

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    More about this item

    Keywords

    U.S. consumption; saving; TFP;
    All these keywords.

    JEL classification:

    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth

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    This paper has been announced in the following NEP Reports:

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