Dependency Rates and Private Savings Behavior in Developing Countries.
A firm theoretical basis for the empirical relationship between dependency rates and savings behavior in developing countries is still lacking. Two demographic extensions of the representative household's stochastic dynamic optimization problem are presented here. It is shown that the relations...
| Korporativní autor: | |
|---|---|
| Médium: | Časopis |
| Jazyk: | English |
| Vydáno: |
Washington, D.C. :
International Monetary Fund,
1988.
|
| Edice: | IMF Working Papers; Working Paper ;
No. 1988/010 |
| Témata: | |
| On-line přístup: | Full text available on IMF |
| Shrnutí: | A firm theoretical basis for the empirical relationship between dependency rates and savings behavior in developing countries is still lacking. Two demographic extensions of the representative household's stochastic dynamic optimization problem are presented here. It is shown that the relationship between expected dependency rates and consumption growth depends on two parameters: the demographically varying committed consumption and the intertemporal elasticity of substitution. Thus, the expected path of demographic variables can provide information on the consumers' willingness to smooth consumption, and on the savings responsiveness to changes in the real interest rate. |
|---|---|
| Popis jednotky: | <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required |
| Fyzický popis: | 1 online resource (18 pages) |
| Médium: | Mode of access: Internet |
| ISSN: | 1018-5941 |
| Přístup: | Electronic access restricted to authorized BRAC University faculty, staff and students |