This document discusses the average propensity to consume and save, factors influencing savings rates, and the impact of the COVID crisis on household savings.
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[...] - Non-financial Heritage: 9095 billion euros half buildings, half housing. - Total Heritage: billion euros. Consequences of resorting to bank credit: household indebtedness (of some households). ? Household debt composed of : - Consumer credits for short-term and medium-term projects (to finance studies). - Housing credits (to finance one's housing). The choice between a fixed interest rate and a variable interest rate depends on the agents' expectations of future interest rates. In France, the majority of loans are granted with fixed interest rates. [...]
[...] For French data: INSEE Dashboard - Savings rate of the country : (average of 15%). Comparison with other countries (fact sheet): Use of National Savings (which comes from households). - Financing of enterprises: Iprivate - Financing of the State: Ipublic + CFapu - Financing the Rest of the World : Why do households, in general, choose to save? The answer depends on households, their age : - Comportment "ant" : he will spend very little, so he will give up current consumption and prefer to build up his assets with his annual savings and make them grow (thanks to the interest on investments) in order to consume more later or even to pass on. [...]
[...] Expenses : - Consumption. - Investment in the main residence. This is also true for all years and for all countries. Households generally save. ? At the individual level : A household with approximately 40 years old and 3 children : Anddi (5000?) > Ci (3400?) ? ydi ? Ci, t (3400?) & Si, t (1600?) Stock (patrimoine financier / immobilier): 5000?. Calculs : - Savings rate of this household: Si, t / ydi, t = 1600 / 5000 = ? [...]
[...] Since interest rates are historically low, and they are lower than in the euro zone Chapter 2 : Has this participation of households been modified by recent crises? Effects of the COVID crisis: 1. Over 2 years, in France, the overall savings have increased by 170 billion euros. 2. The effect of the COVID crisis on savings: increase in forced savings & precautionary savings. 3. In France of the savings surplus has been accumulated by the 20% richest: true. ? [...]
[...] « Global savings, hope for post-Covid economic recovery? ? of global GDP that was saved, knowing that GDP is 100 trillion dollars, especially in the most advanced countries, this represents 4,500 billion euros ? If 1/3 of this is consumed, it will lead to a increase in global growth. In at the European level, in 2020, a 7 percentage point increase in the savings rate, with different rates in different countries. « Europeans have accumulated an additional 600 billion in savings during the crisis. [...]
