Understanding%20Domestic%20Savings%20in%20Chile

Working Papers

Understanding Domestic Savings in Chile


CODE: IDB-WP-626
AUTHOR(s): Cerda, Rodrigo , Fuentes, Rodrigo , García, Gonzalo , Llodrá, Jose Ignacio
PUBLISHED: October 2015
LANGUAGE: English
RELATED TOPICS: Macroeconomics
DOWNLOAD FILE IN: English

Abstract:

This paper constructs time series data on savings per type of agent for Chile during the period 1960-2012. It is found that the economy’s average savings rate increased by 11 percentage points in the period 1985-2012 compared to 1960- 1984, with particularly pronounced growth in corporate savings. The evidence suggests that this increase was driven largely by the following measures: i) pension reform that introduced mandatory savings and private sector management, ii) banking reform, iii) tax reform, iv) capital markets reform and v) privatizations.

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