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Rural Household Savings Behavior in South Korea, 1962–76
Author(s) -
Hyun K. N.,
Adams D. W.,
Hushak L. J.
Publication year - 1979
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.2307/1239430
Subject(s) - margin (machine learning) , economics , permanent income hypothesis , cross sectional data , section (typography) , household income , demographic economics , agricultural economics , econometrics , geography , business , macroeconomics , life cycle hypothesis , archaeology , machine learning , computer science , advertising
Abstract This study documents the extent of savings in representative rural households in South Korea during 1962–76. A technique for measuring permanent income from cross‐section data is used to estimate marginal savings behavior. The results show that households saved a remarkably large part of their incomes. During the late 1960s these savings were, on the margin, about one‐fifth of permanent incomes and about four‐fifths of transitory incomes. Authors also conclude that useful measures of permanent and transitory income can be estimated from cross‐section data.