Exchange rate developments and the primary copper industry

摘要: Abstract The decline of the dollar since February 1985 relative to countries industrialized world is a generally welcome development, acting restore lost competitive advantages US industry. However, as this paper shows, use popular exchange rate indices can be misleading indicator shifting advantage. copper industry serves an interesting illustration. Real rates have not improved for USA compared several important producing nations, including Canada, Chile, Mexico, Peru, Zaire and Zambia. As region- or even country-specific analysis real movements necessary assess supply side factors.