Cambio real, poupan？a doméstica e poupan？a externa: análise teórica e evidências empíricas

this paper provides theoretical and empirical elements to analyze the relation between real exchange rates and domestic savings. we show from a theoretical perspective how a competitive exchange rate may stimulate domestic savings by avoiding consumption booms based on currency overvaluation and by increasing profits in the tradable sector. our baseline model shows from a short run perspective how a competitive exchange rate may stimulate investment, exports, profits and thus domestic savings. we also present econometric evidence based on a panel with developing countries which shows a robust connection between real exchange rates and domestic savings as a share of gdp.