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firm's labour demand. As the exchange rate volatility increases, so does the value of the export option provided the firm …
Persistent link: https://www.econbiz.de/10010296377
interpreted as an option. An enterprise will opt to export if the profits obtained from exporting under given exchange rate …, an enterprise will choose not to export. By virtue of a favorable exchange rate situation it may be more advantageous to …Given that a multinational enterprise can react flexibly upon exchange rate movements, international trade flows may be …
Persistent link: https://www.econbiz.de/10010300614
This paper studies a Cournot duopoly in international trade so that the firms are exposed to exchange rate risk. A hedging opportunity is introduced by a forward market where the foreign currency can be traded on. We investigate two settings: First we assume that hedging and output decisions are...
Persistent link: https://www.econbiz.de/10010300615
We study the impact of exchange rate risk upon export production within an emerging economy lacking in currency forward … conditions under which export production is stimulated when the hedging device becomes more effective. In any case the exporting …
Persistent link: https://www.econbiz.de/10010300622
Persistent link: https://www.econbiz.de/10000894423
Persistent link: https://www.econbiz.de/10000877312
Abstracting from self-protection and self-insurance e ects of export produc-tion choices, exporting rms usually have …
Persistent link: https://www.econbiz.de/10012518032
This paper studies a Cournot duopoly in international trade so that the firms are exposed to exchange rate risk. A hedging opportunity is introduced by a forward market where the foreign currency can be traded on. We investigate two settings: First we assume that hedging and output decisions are...
Persistent link: https://www.econbiz.de/10003796261
interpreted as an option. An enterprise will opt to export if the profits obtained from exporting under given exchange rate …, an enterprise will choose not to export. By virtue of a favorable exchange rate situation it may be more advantageous to …Given that a multinational enterprise can react flexibly upon exchange rate movements, international trade flows may be …
Persistent link: https://www.econbiz.de/10003796274