The relationship between income inequality and savings: evidence from household‐level panel data in Vietnam

Tran, Nhan Dang; Ong, Chuong Nguyen; Nguyen, Quy Dinh Le

doi:10.1080/15140326.2020.1816131

Cited by 5 publications

(1 citation statement)

References 31 publications

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“…Household size is an individual characteristic exogenous to the model and it has proven capability of explaining income (Espenshade et al, 1983; Lazear and Michael, 1980). The previous literature in economics has used household size to instrument household savings (Tran et al, 2020), which are a fraction of household income, and unobservable income variables such as permanent income (Scoggins, 2001). The uncertainty introduced from the first stage of Model 3 is corrected by recalculating the standard errors using 1000 replications of bootstrap resampling.…”

Section: Resultsmentioning

confidence: 99%

How aging affects opportunity-necessity entrepreneurship: Demographic and perceptual view

Chang¹,

Sanchez-Loor²,

Hsieh

et al. 2022

Australian Journal of Management

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Drawing upon the social-cognitive view and the intentionality-based entrepreneurial behavior model, this study investigates how individuals’ demographics and perceptions affect entrepreneurial intentions and how the effects vary along with age. The data were collected from the Global Entrepreneurship Monitor 2015, which includes 35,141 respondents from 60 countries. Our finding suggests an inverted U-shaped relationship between age and both types of entrepreneurship. We also found a gender gap indicating that women and men are more likely to engage in necessity and opportunity entrepreneurship, respectively. Moreover, higher income and education lower the probability of necessity entrepreneurship, whereas higher income motivates opportunity entrepreneurship. JEL Classification: L26, M13

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Section: Resultsmentioning

confidence: 99%

How aging affects opportunity-necessity entrepreneurship: Demographic and perceptual view

Chang¹,

Sanchez-Loor²,

Hsieh

et al. 2022

Australian Journal of Management

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The moderating effect of income inequality on the relationship between economic growth and political economy, human capital, innovation, and saving channels in Ethiopia

Hordofa

2023

Discov glob soc

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Background This research focuses on examining the relationship between income inequality and economic growth in Ethiopia over the period from 1981 to 2020. The study aims to understand the various channels through which income inequality affects economic growth and explores the role of different factors such as political economy, innovation, human capital, and saving channels. Method To analyze the relationship between income inequality and economic growth in Ethiopia, the researchers employ the Autoregressive Distributed Lag (ARDL) model. They also conduct the Bayer Hanck (BH) Cointegration Test using four different methods: Engle-Granger, Johansen, Banerjee, and Boswijk. These techniques help determine whether there is a long-term connection, or cointegration, between the variables under investigation. Results The findings of this study indicate strong evidence of cointegration between income inequality and economic growth in Ethiopia, except in the Engle-Granger test. This suggests a long-term relationship between these variables. The researchers analyze various channels through which income inequality affects economic growth. They discover that income inequality significantly hampers economic growth in Ethiopia. On the other hand, the development of human capital, as measured by school enrollment, has a positive and significant impact on economic growth. However, other channel variables such as gross domestic saving, gross fixed capital formation, high-technology exports, general government revenue, and general government total expenditure do not exert a significant influence on economic growth. Conclusions Based on the research findings, the study emphasizes the role of government expenditure as a moderating factor that can mitigate the adverse effects of income inequality on economic growth in Ethiopia. It also highlights the importance of savings channels, particularly gross fixed capital formation, in fostering economic growth. Moreover, the study suggests that innovation, represented by high-technology exports, may indirectly influence economic growth by promoting the development of human capital. Overall, this research provides valuable insights into the intricate relationships between income inequality and economic growth in Ethiopia, exploring both direct and moderating effects through various transmission channels.

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Investment in children’s higher education and household asset allocation in China

Arends‐Kuenning

2022

Journal of Applied Economics

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The relationship between income inequality and savings: evidence from household‐level panel data in Vietnam

Cited by 5 publications

References 31 publications

How aging affects opportunity-necessity entrepreneurship: Demographic and perceptual view

How aging affects opportunity-necessity entrepreneurship: Demographic and perceptual view

The moderating effect of income inequality on the relationship between economic growth and political economy, human capital, innovation, and saving channels in Ethiopia

Investment in children’s higher education and household asset allocation in China

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