Cointegration between Investment and Saving in Selected Asian Countries: ARDL Bounds Testing Procedure


Abstract: This paper investigates empirically the relationship between savings and investment in Indonesia, Philippines and Thailand by employing the bounds testing procedure. There are not many studies on the Feldstein-Horioka puzzle for the developing countries. Using bounds testing for cointegration, the results do not support a positive correlation between savings and investment in these three countries...

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