Religion as a Determinant of Private Saving Rates: A Cross-Country Panel Analysis

Abstract

While the role of religion in the economy is considered by many to be underrepresented in existing academic research, extensive studies have been carried out in recent years to analyze the macroeconomic determinants of private saving. This study hopes to help bridge the gap by introducing religion as a determinant of private saving alongside traditional macroeconomic and demographic factors. Using a cross-country panel approach, focusing on member countries of the Organization for Economic Co-operation and Development (OECD), this study analyzes trends in private saving rates and religious adherence between 1970 and 2010.