Saving in Latin America and the Caribbean : Performance and Policies

Author/Editor:

Francesco Grigoli ; Alexander Herman ; Klaus Schmidt-Hebbel

Publication Date:

May 18, 2015

Electronic Access:

Free Full Text (PDF file size is 807 KB).Use the free Adobe Acrobat Reader to view this PDF file

Disclaimer: This Working Paper should not be reported as representing the views of the IMF.The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate

Summary:

This paper analyzes saving patterns and determinants in Latin America and the Caribbean (LAC), including key policy variables and regimes. The review of previous empirical studies on LAC saving reveals contradictions and omissions. This paper presents empirical results of an extensive search of determinants of private and public saving rates, adding previously neglected variables (including different measures of key external prices and macroeconomic policy regimes), in linear form and in interactions with other saving determinants. It analyzes statistical differences in saving determinants between LAC and the rest of the world in a nested econometric framework, and discusses differences across three country subgroups within LAC. The results highlight commonalities and differences in saving behavior between LAC and other world regions, as well as within LAC, identifying the role of key policy variables and regimes.

Series:

Working Paper No. 15/108

Subject:

English

Publication Date:

May 18, 2015

ISBN/ISSN:

9781513538167/1018-5941

Stock No:

WPIEA2015108

Price:

$18.00 (Academic Rate:$18.00)

Format:

Paper

Pages:

41

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