How currency depreciation stimulates exports

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Reference no: EM133204173 , Length: 6 Pages

Assignment:

In a critical essay, analyze how currency depreciation stimulates exports. Evaluate the three major approaches to analyzing the economic impact of currency depreciation: the elasticities approach, the absorption approach, and the monetary approach. Compare and contrast the three approaches and provide examples that distinguish them from each other.

Readings:

Exchange- Rate Adjustments and the Balance of Payments

By ROBERT J. CARBAUGH

Reference no: EM133204173

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