The US is draining a whopping 75 of the world s surplus savings.

Japan's bilateral trade surplus is nearly the same size as its savings in the US.

By contrast, China had a fixed investment rate of 41.7 of GDP and a savings rate of 51.9 , reflected in a large surplus.

But in a world with such huge infrastructure needs, the problem is not a surplus of savings or a deficiency of good investment opportunities.

Yes, the US needs tax increases to move the federal budget into surplus and policies to boost private savings.

Japan's bilateral trade surplus is nearly the same size as its savings in the US. As long as America borrows Japanese savings to fuel its domestic investment, a trade deficit is inevitable.

a reversal of the country s now rising income inequality lowering the very high savings level relative to investment and thus reducing the current account surplus

The current account surplus, which was supposed to decline sharply, has actually increased, as savings have remained higher and investment lower than expected.

Indeed, the huge increase in China s trade surplus in recent years is a consequence not of the renminbi s exchange rate, as many believe, but of the domestic savings increase.

Savings (overruns)

That's the second half of cognitive surplus.

By channeling the savings of China, Germany, Japan, and other surplus countries into infrastructure investments in the poor countries, the world s economies truly would be working in harmony.

China found it useful to run a large trade surplus, using a very high rate of internal savings and inward foreign investment to support its industrialization and rapid growth.

In late 2009 and in early 2010, China s savings rate might well have remained at 50 of GDP had its trade surplus not narrowed significantly compared to previous years.

Only when a country invests less in fixed assets than the amount that it saves will the surplus savings show up in the trade balance.

Savings are, of course, no bad thing.

Talk abounds of a global savings glut.

Millions of persons lost all their savings.

Millions of people lost all their savings.

Savings Bond Inventory

Second, China s fiscal surplus, growing foreign exchange reserves, and high savings rate have ensured the financial resources needed to maintain adequate investment and sufficiently rapid growth.

Even more staggeringly, US borrowing now soaks up more than two thirds of the combined excess savings of all the surplus countries in the world, including China, Japan, Germany, and the OPEC states.

Drastic price drop causes shortage instead of massive surplus.

Now it has a surplus.

Balancing China s High Savings

Tom has no savings.

I have no savings.

Instead, on top of household savings, the savings or retained earnings of the corporate sector, mostly SOEs, tie up another 25 of GDP.

Both the savings shortage and savings glut hypotheses confuse accounting outcomes with causes.

As a result, an NPF with savings of around 373 billion roubles will be created on the basis of Gazfond Pension Savings.

Today's savings rate, while it has increased slightly, still finds America at the bottom of the world's savings league tables

Reserves are like savings accounts.

We have enormous energy savings.

Both features increased global savings.

(b) To achieve cost savings

America's appallingly low savings rate.

Saudi Arabia also has a bilateral and multilateral surplus Americans want its oil, and Saudis want fewer US products. Even in absolute value, Saudi Arabia s multilateral merchandise surplus of 212 billion in 2008 dwarfs China s 175 billion surplus as a percentage of GDP, Saudi Arabia s current account surplus, at 11.5 of GDP, is more than twice that of China.

Its debtors and creditors are all members of the same, wealthy currency union, whose current account surplus with the rest of the world means that it is a net exporter of capital (that is, domestic savings exceed domestic investment).

But that private sector safety net of savings is fraying.

Thus, higher household savings negated the stimulus of government deficits.

Surplus Chinese savings made possible America s credit expansion between 2003 2005, when the federal funds rate (the overnight rate at which US banks lend to one another) was held at 1 .

Who gets to pocket this team surplus ?

One problem the poor often have in accumulating savings is lack of easy access to savings accounts where they can deposit money.

Inflation no longer threatens anyone's savings.

Africa needed capital, but lacked savings.