none

Saving is critical for the economic development of a country and can insulate it from unwanted inflation and financial instability as a result of international exposure. South Africa is currently experiencing low savings rates and many South Africans have difficulty servicing their debts. Black Africans form the majority in South Africa and they are therefore of critical importance with regard to saving and this country’s ability to finance future projects. It can be argued that the White South African population is becoming older and will therefore begin to withdraw its savings. A literature review has been undertaken to distil the determinants of saving in general and to observe the applicability of these determinants to Black middle class South Africans. Therefore, this paper seeks to identify the determinants of household savings of the Black middle class, with reference to questionnaires and quantitative answers from the respondents in four of South Africa’s provinces. The key findings of the research indicate that the South African Black middle class is financially illiterate and not disciplined with regard to budgeting. They show a high dependency ratio, and the need for instant gratification. In addition, people are hindered by cultural norms that inhibit them from discussing theirSaving is critical for the economic development of a country and can insulate it from unwanted inflation and financial instability as a result of international exposure. South Africa is currently experiencing low savings rates and many South Africans have difficulty servicing their debts. Black Africans form the majority in South Africa and they are therefore of critical importance with regard to saving and this country’s ability to finance future projects. It can be argued that the White South African population is becoming older and will therefore begin to withdraw its savings. A literature review has been undertaken to distil the determinants of saving in general and to observe the applicability of these determinants to Black middle class South Africans. Therefore, this paper seeks to identify the determinants of household savings of the Black middle class, with reference to questionnaires and quantitative answers from the respondents in four of South Africa’s provinces. The key findings of the research indicate that the South African Black middle class is financially illiterate and not disciplined with regard to budgeting. They show a high dependency ratio, and the need for instant gratification. In addition, people are hindered by cultural norms that inhibit them from discussing their finances. These findings can be traced back to this class’s previous exclusion from the main economy. The recommended outcome of this paper indicates that the South African government should implement budgeting as part of the curriculum in primary and high schools. People leaving employment before retirement should not be allowed to cash out more than 50% of their pension fund, and the private sector should be involved in educating its employees with regard to budgeting and the benefits of saving, while creating an environment that facilitates access to financial providers. / Dissertation (MBA)--University of Pretoria, 2012. / Gordon Institute of Business Science (GIBS) / unrestricted

In this paper, we argue that shadow activities and different levels of marketization of household production systematically distort international comparisons of aggregate gross household saving rates (HSRs): Higher shares of hidden income increase observed HSRs. Panel data for 18 (24) OECD-countries covering a period of a decade show that gross HSRs are positively related to the degree of corruption(used as a proxy for the propensity to shift economic activities into the shadow) and to the share of income from property and self employment. At the same time, gross HSRs are negatively related to the female employment rate, the ratio of indirect taxes to direct taxes, and to the tax wedge. One plausible story behind these phenomena might be that unobserved consumption and wages in the shadow labor market induce an upward bias in observed HSRs and profit shares, while the price level effects of a higher share of indirect taxes and a 'welfare state' effect lower observed HSRs. (authors' abstract) / Series: Department of Economics Working Paper Series

The main question this master thesis wants to answer is how much from their disposable income the Czech households save and how do they use their savings on the capital market. The thesis analyse situation and trend of the Czech households saving rate, changings of the marginal saving rate and checks in which financial instruments the Czech households alocate their savings. The thesis also focus on comparison of the Czech households data with the foreign households especially with the German, the Belgium and the Britain households as well as with Visegrád group households. Middle part of the thesis contains a forecast of future progress, which is compared with the similar forecast from year 2006, as well as the relationship of the government and the household's savings rate and possibilities and impacts of its regulation.The thesis is finished with the conclusion which summarize the most important results.

This Master's thesis focuses on Czech household savings. It describes the most important traditional and alternative financial products used by Czech households. Next it reveals the reasons why Czech households are so conservative in their attitude to their financial means in comparison with other European countries. In the last part of this thesis the most important determinants of household savings are identified and with the help of correlation coefficient the intensity of correlation between gross household savings and their determinants is explored.