The Feldstein-Horioka Hypothesis in Countries with Varied Levels of Economic Development
This article aims to analyse the Feldstein-Horioka hypothesis, which suggests a strong correlation between investments and savings in advanced economies. Additionally, the analysis of the Feldstein- Horioka hypothesis was expanded to include emerging markets and developing economies in order to prov...
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| Format: | Article |
| Language: | English |
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University of Finance and Management, Warsaw; Vistula University
2011-06-01
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| Series: | Contemporary Economics |
| Online Access: | http://ce.vizja.pl/en/download-pdf/id/206 |
| Summary: | This article aims to analyse the Feldstein-Horioka hypothesis, which suggests a strong correlation between investments and savings in advanced economies. Additionally, the analysis of the Feldstein- Horioka hypothesis was expanded to include emerging markets and developing economies in order to provide a thorough analysis of this issue.1 The paper utilises a research method based on bibliographic studies in macroeconomics and international finances as well as econometric methods (the vector autoregressive model - VAR). All statistical data used in the paper are taken from the statistical database of the International Monetary Fund (World Economic Outlook Database). |
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| ISSN: | 2084-0845 |