This report presents among the initial studies of exchange rate pass-through in a dynamic context. It examines the affect of exchange rate fluctuations in a duopoly where businesses interact over an indifinite period of time…
The responsiveness of import prices to changes in the exchange rate is a problem that has created significant curiosity in the past few years. Much of this literature has been motivated by the observation that variations in the exchange rate usually don’t passthrough in to prices. For example, quite a few empirical reports have found that the degree of exchange rate pass-through in to prices relies on both the source and the destination of exports…
Source: University of Adelaide
Download URL 2: Visit Now