01756cas a2200253 a 4500 AALejournalIMF010149 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451926361 1018-5941 BD-DhAAL BD-DhAAL International Monetary Fund. Dependency Rates and Private Savings Behavior in Developing Countries. Washington, D.C. : International Monetary Fund, 1988. 1 online resource (18 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students 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. Mode of access: Internet South Africa imf IMF Working Papers; Working Paper ; No. 1988/010 Full text available on IMF http://elibrary.imf.org/view/journals/001/1988/010/001.1988.issue-010-en.xml IMF e-Library