Social Security Membership and Saving: The Turkish Case

Abstract

This study analyses the micro-foundations of the saving behaviour in Turkey, looking for a humpback profile in saving rates. Household Expenditure Surveys are used to construct a pseudo-panel of the saving rate. Then, an age-cohort-period decomposition is undertaken to isolate the agedependent behaviour of the saving rate in Turkey. The analysis is repeated for sub-samples based on social security status. Further investigation is carried out with truncated regression. Existence of a humpback profile is confirmed, but no systematic link between social security membership and the humpback profile is identified.