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8.2.45.37 octave.dataset.LifeCycleSavings ¶

Static Method: out = LifeCycleSavings () ¶

Intercountry Life-Cycle Savings Data

Description ¶

Data on the savings ratio 1960–1970.

Format ¶

country

Name of the country.

sr

Aggregate personal savings.

pop15

Percentage of population under 15.

pop75

Percentage of population over 75.

dpi

Real per-capita disposable income.

ddpi

Percent growth rate of dpi.

Details ¶

Under the life-cycle savings hypothesis as developed by Franco Modigliani, the savings ratio (aggregate personal saving divided by disposable income) is explained by per-capita disposable income, the percentage rate of change in per-capita disposable income, and two demographic variables: the percentage of population less than 15 years old and the percentage of the population over 75 years old. The data are averaged over the decade 1960–1970 to remove the business cycle or other short-term fluctuations.

Source ¶

The data were obtained from Belsley, Kuh and Welsch (1980). They in turn obtained the data from Sterling (1977).

References ¶

Sterling, Arnie (1977). Unpublished BS Thesis. Massachusetts Institute of Technology.

Belsley, D. A., Kuh. E. and Welsch, R. E. (1980). Regression Diagnostics. New York: Wiley.

Examples ¶

t = octave.dataset.LifeCycleSavings;

# TODO: linear model

# TODO: pairs plot with Lowess smoothed line