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Public Policies and Private Saving in Mexico

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  • Martin Feldstein

    (Harvard University. Cambridge, MA. USA.)

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    Abstract

    This paper presents a variety of ideas about ways in which the government of Mexico can stimulate a higher rate of saving. These ideas are building blocks rather than an overall plan. Mexico has recently replaced its traditional pay-as-you-go social security system with a system of mandatory individual pension accounts that is likely to increase national saving and capital accumulation. The present paper focuses on other tax, regulatory and government financial policy changes that could increase the reward, the security and the liquidity of savings in ways that would raise the national saving rate. The design of the individual pension accounts (the AFORE program) is discussed in the Appendix to this paper.

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    File URL: http://www.economiamexicana.cide.edu/num_anteriores/VIII-2/02_MARTIN_FELDSTEIN_231-265.pdf
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    Bibliographic Info

    Article provided by in its journal Economia Mexicana NUEVA EPOCA.

    Volume (Year): VIII (1999)
    Issue (Month): 2 (July-December)
    Pages: 231-265

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    Handle: RePEc:emc:ecomex:v:8:y:1999:i:2:p:231-265

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