Faculty of Economics and Business Administration Publications Database

Cultural Determinants of Household Saving Behavior

Masella, Paolo
Paule-Paludkiewicz, H.
Volume: 52
Number: 5
Pages: 1035 - 1070
Month: August
ISSN-Print: 0022-2879
Link External Source: Online Version
Year: 2020
Keywords: Saving, Culture, Immigrants

Relying on the epidemiological approach, we show that culture is a significant driver of household saving behavior. Second‐generation immigrants from countries that put strong emphasis on thrift or wealth accumulation tend to save more in Germany. We confirm these results in data from the United Kingdom. By linking parents to their children, we show that these two cultural components affect the saving behavior of both first‐generation immigrants and their children.