investment and foreign direct investment (FDI). Producers may diversify internationally in order to increase the flexibility of …. It is shown that a fixed exchange rate regime is more conducive to FDI relative to a flexible exchange rate, and this … positive) correlation between exchange rate volatility and the level of investment …

Estimation and simulation of sustainable real exchange rates in some of the new EU accession countries point to …

located far away. Firm optimisation then leads less productive firms to self-select themselves for FDI. We test this …

volatility in determining a firm's debt currency composition, among other channels. Furthermore, the effect of exchange rate … volatility becomes statistically insignificant beyond an estimated threshold credit-to-GDP ratio of 100 percent …

standard estimation technique of exchange rate pass-through to inflation is extended to incorporate exchange rate volatility …Does the South African rand's relatively large volatility affect inflation? To shed some light on this question, a …. Estimated results suggest that higher exchange rate volatility tends to increase core inflation but to a relatively limited …

This paper investigates the consequences of exchange rate volatility on the variability of export prices and quantities …

This paper presents a method to test the volatility predictions of the textbook asset-pricing exchange rate model … builds on existing tests of excess volatility in asset prices, combining them with a procedure that extracts unobservable … 1984 and find broad evidence of excess exchange rate volatility with respect to the predictions of the canonical asset …