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Undesirable real effects have been attributed to floating exchange rates in general, and the 1980-83 appreciation of the dollar in particular.In the appreciating country, the U.S., export industries lose competitiveness and so output falls. In the other country, say Europe, the exchange rate...
Persistent link: https://www.econbiz.de/10012477992
Undesirable real effects have been attributed to floating exchange rates in general, and the 1980-83 appreciation of the dollar in particular.In the appreciating country, the U.S., export industries lose competitiveness and so output falls. In the other country, say Europe, the exchange rate...
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Over the last three decades, Mexico’s macroeconomic policy has been driven by a sound orthodox strategy: an open … between the exchange rate and prices in Mexico and the US (its main commercial partner), there are other forces affecting the … former. The main factor in this relentless long-term depreciation is the loss of productivity in Mexico relative to the US …
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