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. Author manuscript; available in PMC: 2009 Oct 27.
Published in final edited form as: J Monet Econ. 2007 Jan 1;54(1):92–114. doi: 10.1016/j.jmoneco.2006.12.004

Table 4.

Regression Results

Dependent Variable: Savings Rate
1 2 3 4
Constant −0.137 (1.23) Fixed Effects Fixed Effects Fixed Effects
Lagged savings rate 0.758 (37.07) 0.784 (48.49)
Wage 0.300 (4.43) 0.642 (6.27) 0.133 (1.78) 0.059 (5.85)
Life Expectancy 0.968 (2.40) 0.305 (0.64) 0.035 (0.08)
Growth Rate 2.212 (2.21) 3.234 (4.82) 0.989 (1.59)
Wage Squared −0.032 (5.77) −0.037 (4.83) −0.006 (0.83) −0.012 (4.68)
Life Expectancy Squared −0.701 (1.91) 0.075 (0.16) 0.066 (0.16)
Growth Rate Squared 11.174 (4.07) 2.743 (1.17) 0.872 (0.48)
Wage times life expectancy −0.211 (2.08) −0.564 (3.78) −0.130 (1.12)
Wage times growth rate −0.189 (0.72) 0.039 (0.17) 0.146 (0.79)
Life expectancy times growth rate −7.320 (4.45) −4.960 (4.26) −1.524 (1.50)
Growth Rate divided by birth rate 0.090 (9.04) 0.008 (0.82) 0.000 (0.06)
Ratio of old to working-age population −0.621 (13.01) −0.891 (7.53) −0.209 (2.32) −0.289 (4.04)
Ratio of young to working-age population 0.010 (0.45) −0.054 (1.75) −0.018 (0.86)
Log labor force participation rate −0.091 (3.17) 0.301 (5.24) 0.012 (0.24)
Retirement Incentive −0.166 (5.44) −0.082 (2.46) 0.034 (1.20)
Replacement rate: fully funded −0.206 (2.79) −0.264 (3.34) 0.005 (0.08)
Replacement rate: pay as you go −0.040 (0.58) 0.408 (6.29) 0.116 (2.35) 0.119 (4.83)
Universal Coverage −0.082 (2.27) −0.058 (1.23) −0.051 (1.28) −0.048 (1.84)
Retirement Incentive times life expectancy 0.229 (5.30) 0.106 (2.23) −0.039 (0.98) 0.008 (2.18)
Replacement rate (fully funded) times life expectancy 0.336 (3.31) 0.395 (3.50) −0.002 (0.02)
Replacement rate (pay as you go) times life expectancy 0.013 (0.13) −0.590 (6.08) −0.168 (2.23) −0.182 (4.76)
Universal coverage times life expectancy 0.091 (1.63) 0.114 (1.53) 0.088 (1.42) 0.084 (2.16)
R2 0.495 0.768 0.889 0.889

t statistics in parenthesis (based on robust standard in columns 1 and 2 and bootstraped standard error estimates in columns 3 and 4). Based on 1763 observations from 57 countries over the period 1961–2000.