essential in analyzing optimal hedging and export decisions. When the spot exchange rate and the futures exchange rate are …

The paper analyzes the interactions between the precision of information, trade and welfare within a decision framework … of an exporting firm. Information in a financial market is described in terms of a publicly observable signal. With … higher transparency, the signal conveys more precise information about the random foreign exchange rate. More precise …

; information system ; transparency ; hedging ; international trade … conveys more precise information about the random foreign exchange rate. We analyze the interaction between market …