savings ratio

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Related to savings ratios: Average propensity to save

Savings Rate

The amount a person or organization places in a savings account or similar vehicle as a percentage of total disposable income. Savings are important for long term financial stability as it gives a person or organization a cushion for bad times. The savings rate may be calculated at microeconomic level for personal finances or may be aggregated at the national level to gauge financial health. A low or negative savings rate usually indicates excessive borrowing, spending, or both. On the other hand, a high savings rate may result in slower economic growth as persons and companies are saving instead of purchasing goods and services. See also: Rainy day fund.

savings ratio

the proportion of NATIONAL INCOME that is saved by households (see PERSONAL SAVINGS RATIO), by businesses in the form of RETAINED PROFITS, and by the government in the form of BUDGET SURPLUSES.
References in periodicals archive ?
Similarly, household savings ratio for South and for North shown in Table 1 corresponds roughly to the personal savings ratios in EMU core and periphery exhibited in Fig.
Fifth, while the savings ratios under financial autarky generated by the model are roughly in accordance with the empirical facts exhibited in Fig.
It is characteristic of Austrian business cycles that private households have tended to adapt their savings ratios to cushion cyclical fluctuations in disposable income, reducing the savings ratio during an economic downswing and increasing it when the economy recovers [ILLUSTRATION FOR FIGURE 5 OMITTED].
However, the effect was dampened by a fall in the household savings ratio.
Denmark and Norway exhibited their lowest savings ratios in 1986, amounting to -11.
The data are for different time periods that correspond to the falling and rising trends in the savings ratios of the respective countries.
In all leading OECD economies savings ratios were falling and debt-income ratios rising as people were encouraged to borrow more in order to spend more.
They base their findings on median savings ratios by age from the 1983 and 1986 Surveys of Consumer Finances.
Average domestic savings ratios decreased slightly in countries receiving adjustment loans, with somewhat larger declines occurring in the comparator countries over the entire period.
The country's benign credit environment with loan loss provisions at a historically low level, healthy capital and savings ratios and low household debt has facilitated robust loan growth in the past few years.
Halifax pointed out that these findings are set against a backdrop of one of the lowest savings ratios for 40 years.
Mr Santer said Asian economies were very dynamic, had a solid resource base, high savings ratios, skilled labour and benefited from entrepreneurial dynamism.