The Feldstein-Horioka Paradox – evidence for Colombia during 1925-2011
This paper examines the relationship between national investment and saving in Colombia during the period 1925-2011 -- Consistent with Cardenas and Escobar (1998), an Error Correction Model is used to examine short and long run effects -- The results provide evidence that investment and saving are c...
| Autores: | , , |
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| Tipo de recurso: | artículo |
| Estado: | Versión publicada |
| Fecha de publicación: | 2015 |
| País: | Colombia |
| Institución: | Universidad EAFIT |
| Repositorio: | Repositorio EAFIT |
| Idioma: | español |
| OAI Identifier: | oai:repository.eafit.edu.co:10784/7804 |
| Acceso en línea: | http://hdl.handle.net/10784/7804 |
| Access Level: | acceso abierto |
| Palabra clave: | C12 C22 F21 F41 Paradoja de Feldstein - Horioka AHORRO E INVERSIÓN MERCADO FINANCIERO TASAS DE INTERÉS MODELOS ECONÓMICOS COINTEGRACIÓN MODELOS ECONOMÉTRICOS RENTAS NACIONALES - CONTABILIDAD Saving and investment Capital market Interest rates Economic models Cointegration Econometric models National income - Accounting |
| Sumario: | This paper examines the relationship between national investment and saving in Colombia during the period 1925-2011 -- Consistent with Cardenas and Escobar (1998), an Error Correction Model is used to examine short and long run effects -- The results provide evidence that investment and saving are co-integrated during the study period -- The results for the co-integration vector, with and without structural breaks, indicate that capital mobility was low, which is consistent with the Feldstein – Horioka [1980] paradox -- The results imply that increases in domestic saving rates reduce the mobility of financial capital in Colombia |
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