Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/36501
Authors: 
Broll, Udo
Eckwert, Bernhard
Year of Publication: 
2009
Series/Report no.: 
Dresden discussion paper series in economics 02/09
Abstract: 
The paper examines the economic role of modelling information on the decision problem of an exporting firm under exchange rate risk and hedging. Information is described in terms of market transparency, i.e., a publicly observable signal conveys more information about the random foreign exchange rate. We analyze the interaction between market transparency and the ex ante expected utility of the exporting firm. It is shown that more transparency on the foreign exchange market may result in higher or lower export production.
Subjects: 
Information
transparency
exchange rate risk
hedging
trade
JEL: 
D81
D83
F11
F31
Document Type: 
Working Paper

Files in This Item:
File
Size
181.12 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.