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High savings rates at 8% prevented the violent consumer spending contraction we are seeing now.
India's high savings rate, about 35percentt, meant that about $200 billion a year was being saved and needed to be deployed somewhere, he said.
First, a high savings rate.
It has an extraordinarily high savings rate.
They had high savings rates.
With low investment and high savings, economic growth slows down.
Moreover, employees who enrolled in the 401(k) plan overwhelmingly chose high savings rates.
After declining somewhat in recent years, the country's unusually high savings rate is now rising.
When interest rates are high, savings are worth more tomorrow, and vice-versa.
It also has virtually no foreign debt and a high savings rate.
The link sounds plausible: take China's regular 9-10% annual growth and its high savings rate.
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