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  1. Home
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Browsing by Author "Bellen, Arminda Meliz R."

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    Determinants of rural household saving behavior
    (2013-10) Bellen, Arminda Meliz R.; Calicdan, Kayleen Gene R.; Pernia, Ernesto M.
    For the year 2011, the national saving rate was only 12-16 %, which is said to be not enough for a developing country like the Philippines. Using data from Family Income and Expenditure Survey 2009 at the household level, this paper shows what factors influence the saving rate of the households in the rural sector, which comprises a big part of the Philippines. The study also analyzes the agricultural and non-agricultural sector of the rural households. Our results show that income is a key determinant of saving behavior such that as income increases, the capacity to save increases. Gender, age, marital status and educational attainment of household heads also affect saving behavior. We also find that the agricultural sector saves less than non-agricultural sector. Between the two major agricultural sources of income, farming crops are more profitable than raising livestock and poultry.

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