TY  - JOUR
AU  - Auerbach,Alan J.
TI  - Issues in the Measurement and Determinants of Business Saving
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 1024
PY  - 1983
Y2  - May 1983
UR  - http://www.nber.org/papers/w1024
L1  - http://www.nber.org/papers/w1024.pdf
N1  - Author contact info:
Alan J. Auerbach
Department of Economics
530 Evans Hall, #3880
University of California, Berkeley
Berkeley, CA 94720-3880
Tel: 510/643-0711
Fax: 510/643-0413
E-Mail: auerbach@econ.berkeley.edu
AB  - This paper begins with a discussion of the measurement of business saving,with the conclusion that even "corrected" measures of business saving are quite inaccurate in the presence of inflation, leading to an overstatement of the  recent decline in business saving. The remainder of the paper focuses on the more fundamental issue of why it should matter who saves. Beginning from their relevance proposition associated with the Modigliani-Miller theorem, we consider the channels through which taxation causes the identity of the saver to have real effects. Finally, we consider the relative efficiency of business versus personal savings incentives, in light of our results.
ER  -