A Comparison of Saving Motives of Urban Chinese and American Workers

This article compares saving motives of urban Chinese and American workers. A framework based on Maslow’s human needs theory with the consideration of economic and cultural factors was used to develop hypotheses. The results of logistic regressions and simulations suggest that Chinese are more likely than Americans to report four out of six saving motives: saving for daily expenses, emergencies, children, and investment, whereas Americans are more likely to report saving for major purchases and retirement. Differences in cultures and in economic development stages were investigated as causes for such differences in saving motives. The findings have implications for public policies and cross-cultural communications.