Donald Ofoegbu

Contributory Pension, Savings,capital Market and Economic Growth: a Simple Regression Testing for a Developing Economy Donald Ofoegbu

Given the sine-qua-non nature of savings to economic development, augmented with the pain in the squeeze of government budget to support its pensioners, both developed and developing economies have partially if not totally abandoned the Defined Benefit pension scheme for the Contributory Pension scheme; where pension finance can be accumulated by both the worker/employees (while in service), Their employer and the operating government. Thus creating an amassment of fund, which if "well invested", would facilitate capital markets and economic growth. However, what effect would it have on current private saving, since the scheme is a form of compulsory saving; does the contributory pension scheme reduce savings?... with flagging issues of pension fraud, and mismanagement, what effect does it have on the capital market and economic growth? This is what this book seeks to uncover.