Do RESPs Increase Household Saving?
Dwayne Benjamin*, Michael Smart
Last modified: 2012-07-12
Abstract
This paper estimates the degree to which the Canadian RESP (Registered Education Savings Plan) program increases overall household saving. We use the 1999 and 2005 Surveys of Financial Security, and exploit the interaction between program rules and the age and number of children in a household, to identify the crowd-out effect of RESPs.