# LifeCycleSavings

##### Intercountry Life-Cycle Savings Data

Data on the savings ratio 1960--1970.

- Keywords
- datasets

##### Usage

`LifeCycleSavings`

##### Details

Under the life-cycle savings hypothesis as developed by Franco Modigliani, the savings ratio (aggregate personal saving divided by disposable income) is explained by per-capita disposable income, the percentage rate of change in per-capita disposable income, and two demographic variables: the percentage of population less than 15 years old and the percentage of the population over 75 years old. The data are averaged over the decade 1960--1970 to remove the business cycle or other short-term fluctuations.

##### Format

A data frame with 50 observations on 5 variables.

[,1] | sr | numeric |

aggregate personal savings | [,2] | pop15 |

numeric | % of population under 15 | [,3] |

pop75 | numeric | % of population over 75 |

[,4] | dpi | numeric |

real per-capita disposable income | [,1] | sr |

##### Source

The data were obtained from Belsley, Kuh and Welsch (1980). They in turn obtained the data from Sterling (1977).

##### References

Sterling, Arnie (1977) Unpublished BS Thesis. Massachusetts Institute of Technology.

Belsley, D. A., Kuh. E. and Welsch, R. E. (1980)
*Regression Diagnostics*.
New York: Wiley.

##### Examples

`library(datasets)`

```
require(stats); require(graphics)
pairs(LifeCycleSavings, panel = panel.smooth,
main = "LifeCycleSavings data")
fm1 <- lm(sr ~ pop15 + pop75 + dpi + ddpi, data = LifeCycleSavings)
summary(fm1)
```

*Documentation reproduced from package datasets, version 3.1.3, License: Part of R 3.1.3*