This paper presents an innovative yet practical framework to assess corporate sector vulnerability and the links to exchange rates and financial crises that bridges the gap between corporate finance and macroeconomic analysis. This framework missing describing how changes in aggregate value of...

The half-life of deviations from purchasing power parity (PPP) plays a central role in the ongoing debate about the ability of macroeconomic models to account for the time series behavior of the real exchange rate. The main contribution of this paper is a general framework in which alternative...