Saving Management in Malaysia

Saving management is about empowering and enlightening consumers so that they are well prepared about finance in a way that is relevant to their lives. Koid (2008) denotes that challenges faced by Malaysian in disabling them to protect their finances are low level in mastering financial literacy, poor saving rates, complex products and services, access to a variety of financial products and costs of living. Savings can be lifesavers during an individual’s financial downturn. Today, financially we can be in a good position but nobody knows what will happen in the future. But one thing is for sure, our savings today would certainly save our financial pitfall in the future. Therefore, it is vital for an individual to empower themselves a good saving habit. Therefore, this paper endeavors to analyze the key determinants of saving management in Peninsular Malaysia. Survey forms were distributed to 2500 working adults in Peninsular Malaysia, ages ranging from 18 to 45 years old. Meanwhile, the method employed in this study is multiple regression analysis. Further, this study highlight that parents’ characteristic, investment skill, financial literacy and expenses management are the important factors in enhancing and increasing the level of saving skills in Malaysia.

Financial Development, Saving Rates, and International Economic Volatility: A Simple Model

This study constructs a dynamic and open economy model to show that low saving rates are the cause of economic volatility in developed countries, whereas inadequate financial development is identified as the reason for economic volatility in emerging countries. With low saving rates or inadequate financial development, countries find it difficult to avoid economic volatility, because it is difficult to alleviate the financing constraints of firms and maintain the stability of investment. Under similar conditions, economic volatility is more severe in developed countries and has spillover effects by triggering interest rate fluctuations in the global capital market and intensifying economic volatility in other countries. By contrast, emerging countries or small economies do not have spillover effects. To avoid dramatic international economic volatility, emerging countries should prompt financial development, and developed countries should increase their saving rates.

Migrant Economic Behaviors: Causal Effects of Health Education on Saving Rates, Social Medical Insurance, and House Purchasing

BackgroundsHealth China as the essentials policy with advancing Global Health, contributing to decline the inequality between rural and urban health education, and recovering the domestic markets after Coronavirus. The goal of this study is to evaluate the economic returns on health educations in a developing country. MethodsWe combine life cycle mechanisms and safety beliefs to evaluate continuous values of health education from 720,900 migrants’ economic behaviors through the ERM model, average treatment effects, and heterogeneous treatment effects robust empirically approach.ResultsWe find that health education positively affects participation in social medical insurance and house purchasing. In contrast, the relationship between health education and saving rates is an inverted ‘U’ shape. Heterogeneous treatment effect empirically robust account for heterogeneity in the previous generation and young generation; urban citizenship and rural citizenship continuous effects of health education. ConclusionThe finding suggests that health education stimulates immigrant consumption behaviors; however, extra health education is not a wise policy. Rural-urban citizenship acquisition bias is a significant factor of health education effects differential.JEL CLASSIFICATIONI15; D14; R23

Determining the potential of informal savings groups as a model for formal commitment saving devices

Background: Saving behaviour has attracted research attention over the past 20 years. Typically, individual and household saving rates among low-income groups are inadequate. Research suggests that informal savings groups are effective vehicles for encouraging saving among low-income individuals. Yet little is known about the drivers of positive saving behaviour among informal savings groups, which makes it difficult for formal providers to design interventions that promote higher levels of saving.Aim: This study aimed to explore both the rational and non-rational drivers of saving behaviour among low-income members of informal savings groups, the attributes of informal savings groups that positively influence their collective saving behaviour, and to identify the valued features of savings groups that encourage the adoption of informal commitment saving devices (CSDs).Methods: The study was informed by a literature review followed by field research in which semi-structured interviews were conducted with 10 savings groups and 10 individual members of savings groups. The participants’ perspectives were analysed and compared within the context of behavioural economic theory.Results: The study revealed seven characteristics of informal savings groups that potentially serve as interventions to explain non-rational saving behaviour. It also identified seven features valued by users of informal CSDs (including flexibility, restricted access to savings and no transaction fees) which could be salient to providers of formal CSDs.Conclusion: On the basis of the findings, a behavioural design framework was proposed to inform the design features of formal CSDs that may ensure customer retention and improved saving outcomes.

FRACTIONAL REGRESSION MODEL FOR INVESTIGATING THE DETERMINANTS OF THE UNEMPLOYMENT RATES IN OECD COUNTRIES

Unemployment is a serious problem for all over the world. It is a crucial task to endeavor with the unemployment for the welfare of the world. Once, the potential factors should be known to accomplish this task. The aim of this study is to investigate the determinants of the unemployment rates using fractional regression models for the 35 OECD (Organization for Economic Co-operation and Development) countries over the periods 2000-2017. We determined the factor affecting the unemployment rate by the fractional regression model using GMMbgw and GMMpre estimators for panel data. The empirical results revealed the significant determinants of unemployment as the result of the fractional regression models. Finally, we observe that saving rates, the growth rate of import and export are expressive on the unemployment rates

An Analysis of Age Dependency Burden and Saving Rates in Pakistan

This study analyzes the impact of age dependency on gross savings for the period of 1975 to 2018 by applying ARDL and Granger causality techniques. The findings of the study suggest that young-age dependency and old-age dependency have a negative impact on gross savings in the long run. Granger causality test reveals that the causality between age-dependency of young and gross savings is bidirectional while the causality between age-dependency of old and gross savings is unidirectional. The study is also equipped with policy implications.

Screening of Energy-Saving Technologies for Cement Production Based on Boston Consulting Group Matrix

Based on the analysis of the development situation of China’s cement industry and the BCG Matrix method, this paper classifies and screens 31 energy-saving technologies in China's cement production, and puts forward guiding suggestions for the application of energy-saving technologies for cement enterprises. The screening results show that the “Energy-efficient powder separation technology” and “New low-calcium cement clinker and production technology” are “double-high” technologies with excellent on both screening indicators. The investment energy saving rates are 17.5 tce/10,000 yuan (tons of standard coal equivalent per 10,000 yuan) and 10 tce/10,000 yuan. The promotion ratio increments are 35% and 25%. “Cement clinker energy-saving nitrogen reduction firing technology”, “Fan drive mode adopts high voltage frequency conversion speed control technology”, “Pure low temperature waste heat power generation technology for cement kiln” are “single-high” technologies with excellent on one of screening indicators. The investment energy saving rates are 0.3tce/10,000 yuan, 4.1tce/10,000 yuan, 3.9tce/10,000 yuan respectively. The promotion ratio increments are 19%, 35%, 31.5% respectively.

The ‘Dual Circulation’ development model of China: Background and insights

Purpose Global supply chains experienced unprecedented changes in 2020 and the relationship between domestic and global markets needed adjustments considering the long-term impacts of the changes that are unfolding around these markets. China has become the first country to announce a formal strategy – “Dual Circulation” Strategy (DCS) – to guide its self-reliant economic development in the post-COVID era. However, what exactly is the DCS and what drove China to publicize this strategy is not yet clear. This study aims to answer these questions. Design/methodology/approach Based on an extensive review of literature and media reports, a background has been constructed that justifies the DCS as a long-overdue historic necessity. Findings A novel definition of “Dual Circulation” is introduced. A novel construct to visualize the domestic circulation in light of international and domestic markets and international circulation has been presented. The study argues that maintaining optimum levels of consumption and saving rates is crucial to the DCS’s success. Originality/value The study pioneers the first scientific definition of the “Dual Circulation” that will pave way for future debate on the topic. Also, it is the first time an academic study on the DCS has been executed.