Vol. 10 No. 1 (1990)
Jan-Mar / 1990
Published January 1, 1990
How to Cite
Giambiagi, Fabio, and Edward J. Amadeo. 1990. “Savings Rate and Economic Policy: Notes on the Possibilities of Growth in an Economy With Restrictions”. Brazilian Journal of Political Economy 10 (1):70-84. https://doi.org/10.1590/0101-31572023-0518.
Savings rate and economic policy: notes on the possibilities of growth in an economy with restrictions
Abstract
The article discusses the relationship between savings and economic growth, to
integrate the main contributions of the models based on the hypothesis of full employment
and those which assume the existence of idle capacity. The text develops a hybrid model to
show that the effectiveness of the policies depends on the real situation of each economy.
Thus, useful recommendations in a given context may be completely miscarrying in another
one. Having this theoretical framework as guidelines, it is presented three paradigmatic
cases and analysed the effects over investment expected in each different situation, as result
of official policies.
JEL Classification: O41; E21.
Keywords: Savings models of economic growth