An alternative form of the Campbell (1987) saving test. Show that eq. (43) in the text holds if and only if the variable CA+1 AZt+1(1+r)CA, is statistically uncorrelated with date (or earlier) variables. Derivation of eq. (43). Equation (42) in the text implies that CA, = Z - E, Z, where Z is net output, Y-G-1. Show that an equivalent equation is eq. (43), s-1 CA = == s=1+1. . (+) E, AZ.