This paper aims to estimate the equilibrium real exchange rate for the Brazilian economy. The equilibrium exchange rate is defined as the level of exchange that guarantees that the net foreign asset position is stable over time. An econometric model is estimated using cointegration techniques....

Observers of American foreign policy have been worried for years about eroding public support for international engagement, especially in light of increasing public discontent after nearly two decades of military conflict since 9/11. Low support for international engagement and military...

The current paper reviews poverty issues and economic development in Sudan. The conclusions focus on the conception that unless Sudan increases his economic activity and hence employment, the economic situation will see more deteriorations. Applying marker economy and trade liberalization...

Exchange rate targets in a stabilization game are considered. The targeting strategy consists on the choice of a desired level for the exchange and the weight assigned to such target in the loss function. The exchange rate target appears then as an intermediate objective and acts as a surrogate...

This paper provides a financial engineering exercise for a specific form of exchange rate economic (competitiveness) exposure and discusses the hedging solution for this exposure. Specifically, it analyses exposure in a market where international competitors follow a type of collusive pricing...

Exchange rate targets in a stabilization game are considered. The targeting strategy consists on the choice of a desired level for the exchange and the weight assigned to such target in the loss function. The exchange rate target appears then as an intermediate objective and acts as a surrogate...

Previous literature suggests that economic exposure shouid be managed within the firm’s overall strategy regarding the choice of production iocation. In this paper, it is shown that this strategy is equivalent to exposed firms incorporating real options in their cost function, enabling these...