About this work
A broader sample tests whether large currency depreciations support exports. Robin Brooks and Jonathan Fortun lower their real depreciation threshold to 20%, expanding the historical sample from nine to 24 episodes since 1980. Their December 2020 analysis finds median export volume growth doubling in the following years, challenging the view that dollar invoicing neutralizes the trade response.
Abstract
A broader sample tests whether large currency depreciations support exports. Robin Brooks and Jonathan Fortun lower their real depreciation threshold to 20%, expanding the historical sample from nine to 24 episodes since 1980. Their December 2020 analysis finds median export volume growth doubling in the following years, challenging the view that dollar invoicing neutralizes the trade response.
Cite this work
Robin Brooks, Jonathan Fortun (2020). GMV: Devaluations and Export Volumes. Institute of International Finance.