-oriented emerging Asia, real depreciations are associated with faster growth of firm-level TFP, higher sales and cash-flow, and higher …-constraints and the profitability of engaging in innovation (R&D). We decompose the effects of RER changes on productivity growth … counterfactual simulations of temporary RER movements and conduct several robustness analyses. Effects on physical TFP growth, while …

depreciations are associated with faster growth of firm-level TFP, sales and cashow, higher probabilities to engage in R&D and … for financing R&D. We decompose the effects of RER changes on productivity growth into these channels and explain regional … temporary real exchange rate movements. Effects on physical TFP growth, while different across regions, are non-linear and …