Motivated by the long-standing debate on the pros and cons of competitive devaluation, we propose a new perspective on …

Motivated by the long-standing debate on the pros and cons of competitive devaluation, we propose a new perspective on …

on the trade balance are necessary conditions for stability. It is shown that the effects of a devaluation on aggregate … the economy. The effectiveness of a currency devaluation as a stabilization policy remains unclear, its adoption is not …