Are Saving and Investment Cointegrated? A Cross Country Analysis
Published By: RBI on eSS | Published Date: January, 30 , 2011Saving is an important part of the economic process that gives rise to investment and
economic growth. In this paper an attempt is made to explore the relationship between saving
and investment in three diverse economies, namely, US, UK and China and compare it with India.
Autoregressive Distributed Lag (ARDL) bounds testing approach is used for testing
cointegration relationship between saving and investment in all the four countries. The temporal
movements of the long term coefficients are also examined using recursive estimates. [RBI Occasional Paper]. URL:[http://www.rbi.org.in/scripts/bs_viewcontent.aspx?Id=2487].
Author(s): Sanjib Bordoloi, Joice John | Posted on: Feb 14, 2012 | Views(781) | Download (501)