SAVING, DEPENDENCY AND DEVELOPMENT

The widely-observed finding in the literature showing little or no rel ationship between population growth (and dependency) and saving requir es modification based on panel and cross-section estimation of aggrega te country data. While such a relationship is still weak in the hybrid Leff-type model, it is now found consistently over time and by stage of development in the Mason variable-growth life-cycle framework, wher e changes in demographic factors account for a notable part of saving.