Exchange rate increase exports
sive to changes in the real value of the Swiss franc. In both cases a strong influence of foreign real GNP was found. Swiss Exports and the Exchange Rate:. NIEs, the increased export price sensitivity appears to be strongly related to the effect” of changes in the exchange rate on export prices (equation (3')) and Some researchers argue that an increase in exchange rate fluctuations will reduce the volume of exports. According to this view, fluctuating exchange rates are a