Results 11 to 20 of about 74,997 (45)
Exchange Rates and Prices: Evidence from the 2015 Swiss Franc Appreciation
The American Economic Review, 2018 We dissect the impact of a large and sudden exchange rate appreciation on Swiss border import prices, retail prices, and consumer expenditures on domestic and imported nondurable goods, following the removal of the EUR/CHF floor in January 2015.
Raphael A. Auer +2 more
semanticscholar +1 more source
Across-Country Wage Compression in Multinationals
Social Science Research Network, 2020 Many employers link wages at establishments outside of the home region to the level at headquarters. We show this using new data on 1,200 multinationals’ establishments across the world and linked employee-level data on their establishments in Brazil ...
Jonas Hjort, Xuan Li, Heather Sarsons
semanticscholar +1 more source
Bond Convenience Yields and Exchange Rate Dynamics
American Economic Journal: Macroeconomics, 2017 This paper proposes a new explanation for the failure of Uncovered Interest Parity (UIP) that rationalizes both the classic UIP puzzle and the evidence that the puzzle reverses direction at longer horizons.
Rosen Valchev
semanticscholar +1 more source
The Quanto Theory of Exchange Rates
The American Economic Review, 2017 We present a new identity that relates expected exchange rate appreciation to a risk-neutral covariance term, and use it to motivate a currency forecasting variable based on the prices of quanto index contracts.
Lukas Kremens, Ian J. Martin
semanticscholar +1 more source
Social Science Research NetworkThis paper investigates the influence of global equity market value shocks on institutional investors’ (IIs’) hedging behavior and the resultant effects on exchange rates.
Nadav Ben Zeev, D. Nathan
semanticscholar +1 more source
Does Incomplete Spanning in International Financial Markets Help to Explain Exchange Rates?
The American Economic Review, 2016 We assume that domestic (foreign) agents, when investing abroad, can only trade in the foreign (domestic) risk-free rates. In a preference-free environment, we derive the exchange rate volatility and risk premia in any such incomplete spanning model, as ...
Hanno Lustig, Adrien Verdelhan
semanticscholar +1 more source
The Global Capital Flows Cycle: Structural Drivers and Transmission Channels
Social Science Research Network, 2019 In this paper, we study the effects of structural shocks that influence global risk – the main factor behind a “global capital flows cycle” – and how risk, in turn, is transmitted to capital flows.
M. Habib, F. Venditti
semanticscholar +1 more source
After the Panic: Are Financial Crises Demand or Supply Shocks? Evidence from International Trade
American Economic Review: Insights, 2019 Are financial crises a negative shock to aggregate demand or supply? This is a fundamental question for research and policy making. Arguments for stimulus usually presume demand-side shortfalls; arguments for tax cuts or structural reform look to the ...
Felipe Benguria, Alan M. Taylor
semanticscholar +1 more source
The Twin Ds: Optimal Default and Devaluation
The American Economic Review, 2014 A salient characteristic of sovereign defaults is that they are typically accompanied by large devaluations. This paper presents new evidence of this empirical regularity known as the Twin Ds and proposes a model that rationalizes it as an optimal policy
Seunghoon Na +3 more
semanticscholar +1 more source
An Equilibrium Model of Global Imbalances and Low Interest Rates
, 2006 P. Gourinchas +2 more
semanticscholar +1 more source