Financial
Counseling and Planning

The Journal of the Association for Financial
Counseling and
Planning Education

Volume 14 (1), 2003

Can the Poor Save?

Jeanne
M. Hogarth
(1) and
Chris E. Anguelov
(2)

Using
the 1998 Survey of Consumer Finances, we explore the asset holdings of
poor and low income
households, their available resources for meeting short-term
emergencies, and the determinants of
being a “saver” as defined here. We find that socioeconomic and
demographic characteristics as
well as expectations and motivations, access to resources, and the
institutional environment are
significantly associated with poor and low-income households being able
to save.


Key
words: Saving,
Low income households
,
Survey of Consumer Finances



1 Jeanne M.
Hogarth
,Program Manager, Consumer Policies, Consumer
and Community Affairs, Federal Reserve Board, Mail Stop 801, 20th
and C Sts., N.W., Washington DC 20551, phone 202-785-6024, fax
202-728-5850, e-mail: jeanne.m.hogarth@frb.gov

2. Chris E. Anguelov, Research
Assistant, Consumer Policies, Consumer and Community Affairs, Federal
Reserve Board, Mail Stop 801, 20th
and C Sts., N.W., Washington DC 20551, phone 202-785-6052, fax
202-728-5850, e-mail: chris.e.anguelov@frb.gov

The analysis and
conclusions set forth in this paper represent the work of the authors
and do not indicate concurrence of the Federal Reserve
Board, the Federal Reserve Banks, or their staff.