Replication data for: The Response of Household Saving to the Large Shock of German Reunification

Principal Investigator(s):  View help for Principal Investigator(s) Nicola Fuchs-Schundeln

Version:  View help for Version V1

Name File Type Size Last Modified
LICENSE.txt text/plain 14.6 KB 12/07/2019 07:49:AM
Mainregression_lcs.do text/plain 3 KB 12/07/2019 07:49:AM
ReadMe_Stata.pdf application/pdf 11.7 KB 12/07/2019 07:49:AM
agg_graph_lcs.do text/plain 5 KB 12/07/2019 07:49:AM
appendpooldata_lcs_2.do text/plain 22.6 KB 12/07/2019 07:49:AM
bootstrap_lcs.do text/plain 4.9 KB 12/07/2019 07:49:AM
cohort_age_profiles_lcs.do text/plain 7.1 KB 12/07/2019 07:49:AM
createpooldata_lcs_1.do text/plain 45.6 KB 12/07/2019 07:49:AM
furtherpreparation_lcs_4.do text/plain 48.5 KB 12/07/2019 07:49:AM
merge-with-personal-pool_lcs_3.do text/plain 10.8 KB 12/07/2019 07:49:AM

Project Citation: 

Fuchs-Schundeln, Nicola. Replication data for: The Response of Household Saving to the Large Shock of German Reunification. Nashville, TN: American Economic Association [publisher], 2008. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-12-07. https://doi.org/10.3886/E116301V1

Project Description

Summary:  View help for Summary German reunification was a large, unexpected shock for East Germans. Exploiting German reunification as a natural experiment, I analyze the validity of the life-cycle consumption model. I derive three stylized features concerning the saving behavior of East versus West Germans after reunification: (i) East Germans have higher saving rates than West Germans; (ii) this East-West gap is increasing in age at reunification; and (iii) for every cohort, this gap is declining over time. I show that a comprehensive life-cycle model can replicate these features. The precautionary saving motive is essential for the success of the model. (JEL D14, D91, E21)

Scope of Project

JEL Classification:  View help for JEL Classification
      D14 Household Saving; Personal Finance
      D15 Intertemporal Household Choice; Life Cycle Models and Saving
      E21 Macroeconomics: Consumption; Saving; Wealth
      R23 Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics


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V1 [2019-12-07]

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