International Journal of

ADVANCED AND APPLIED SCIENCES

EISSN: 2313-3724, Print ISSN: 2313-626X

Frequency: 12

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 Volume 10, Issue 1 (January 2023), Pages: 41-47

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 Original Research Paper

 Macroeconomic determinants of saving in South Asia: Evidence from panel ARDL

 Author(s): Kashif Munir *

 Affiliation(s):

 College of Economics and Management, Al Qasimia University, Sharjah, United Arab Emirates

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 * Corresponding Author. 

  Corresponding author's ORCID profile: https://orcid.org/0000-0003-0185-4350

 Digital Object Identifier: 

 https://doi.org/10.21833/ijaas.2023.01.006

 Abstract:

The basic purpose of this research is to explore the short and long run macroeconomic determinants of saving in South Asian countries while saving has been disaggregated into gross saving and gross domestic saving. The study applied the panel ARDL model to analyze the short and long run determinants of saving. The study focuses on only four South Asian countries i.e., Bangladesh, India, Pakistan, and Sri Lanka from 1980 to 2019. The results depicted that GDP per capita growth, export growth, and money supply have positive and significant, while foreign direct investment has a significant and negative effect on gross saving in the long run. On the other hand, GDP per capita growth, money supply, and working age population have positive and significant, while foreign direct investment has a significant and negative effect on gross domestic saving in the long run. Bidirectional causality exists among the gross saving and GDP per capita growth, while unidirectional causality exists from working age population to gross domestic savings. Government has to increase the investment projects that lead to an increase in the employment level and income of the people, as well the government has to encourage local investment by stabilizing the market and discouraging foreign direct investment.

 © 2022 The Authors. Published by IASE.

 This is an open access article under the CC BY-NC-ND license (http://creativecommons.org/licenses/by-nc-nd/4.0/).

 Keywords: Saving, Income, Consumption, Panel ARDL, South Asia

 Article History: Received 22 June 2022, Received in revised form 21 September 2022, Accepted 21 September 2022

 Acknowledgment 

No Acknowledgment.

 Compliance with ethical standards

 Conflict of interest: The author(s) declared no potential conflicts of interest with respect to the research, authorship, and/or publication of this article.

 Citation:

 Munir K (2023). Macroeconomic determinants of saving in South Asia: Evidence from panel ARDL. International Journal of Advanced and Applied Sciences, 10(1): 41-47

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 Tables

 Table 1 Table 2 Table 3 Table 4

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