Chao, Chi-Chur; Lu, Lee-Jung; Lai, Ching-Chong; Hu, Shih-Wen - In: Economic Modelling 30 (2013) C, pp. 456-461
This paper examines the effects of currency devaluations on goods prices and foreign reserves for a small-open economy with inbound tourism. Tourism transforms non-traded goods into exportable goods. Devaluations yield an over pass-through to the prices of the non-traded tourism goods. This may...