This article analyses the relationship between investment and savings for Angola using the Feldstein–Horioka puzzle, with monthly data from January 2000 to December 2013. Integer and fractional integration and cointegration techniques are employed to investigate the relationship between investment and savings. Several regression specifications are employed, concluding that the Feldstein–Horioka puzzle is not validated for the Angolan economy. Policy implications are derived.
Investment and Saving in Angola and the Feldstein-Horioka Puzzle
Luis A. Gil-Alaña
Carlos P. Barros
Applied Economics, Vol. 47, Issue 44