Private Saving and Terms of Trade Shocks : Evidence From Developing Countries /

This paper examines the relationship between temporary terms of trade shocks and household saving in developing countries. It is first shown that, from a theoretical standpoint, this relationship is ambiguous: private saving may rise or fall in response to a transitory terms of trade shock, dependin...

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Бібліографічні деталі
Автор: Ostry, Jonathan
Інші автори: Reinhart, Carmen
Формат: Журнал
Мова:English
Опубліковано: Washington, D.C. : International Monetary Fund, 1991.
Серія:IMF Working Papers; Working Paper ; No. 1991/100
Онлайн доступ:Full text available on IMF
Опис
Резюме:This paper examines the relationship between temporary terms of trade shocks and household saving in developing countries. It is first shown that, from a theoretical standpoint, this relationship is ambiguous: private saving may rise or fall in response to a transitory terms of trade shock, depending on the values of the intertemporal elasticity of substitution and the intratemporal elasticity of substitution between traded and nontraded goods. Empirical estimates of these two parameters are obtained using data from a sample of 13 developing countries, and then used to draw implications for the response of private saving to transitory terms of trade shocks.
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Фізичний опис:1 online resource (26 pages)
Формат:Mode of access: Internet
ISSN:1018-5941
Доступ:Electronic access restricted to authorized BRAC University faculty, staff and students