- Exchange rate pass through
Orphan date February 2009 Formally the exchange rate pass through ERPT is the percentage change in local currency import prices resulting from a one percent change in the exchange rate between the exporting and importing countries ref Goldber, P.K., and M.M. Knetter, 1997. Goods prices and exchange rates What have we learned?. Journal of Economic Literature 35 3 , 1243 1272. ref . Inevitably the change in the import prices find their way to Retail price retail and consumer prices. Inflation pass through occurs when the change in the currency changes prices and therefore inflation. References references Category Foreign exchange market ... more details
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