Search results for "economic exposure"

A Comparative Analysis in the Field of the Economic Exposure to Currency Risk

2017

Currency fluctuations became a daily habit of nowadays financial markets and their impact canbe felt in all companies, from the mere domestic ones to the transnational corporations withintricate businesses around the world. Our paper investigates the economic exposure to currencyrisk for a number of 20 companies from Romania and Croatia, between 2006 and 2011, on a shorttermand long-term perspective. The results picture a different image regarding these companies’exposure either to the Euro and the US dollar. We find that Romanian companies are moreexposed to unexpected changes in the value of their national currency against both the Euro andthe US dollar compared to Croatian companies, wit…