The article compares how inflation changes when exchange rates affect competitiveness in different countries. It shows that the relationship between inflation and exchange rates seen in Mexico also applies to many other countries. This could make it hard for policymakers to lower inflation and boost exports at the same time. The study finds that inflation reacts more strongly to exchange rate changes in Latin America than in Asia or industrialized countries. This difference isn't fully explained by past inflation rates or how open a country is to trade. Asia may have lower inflation reactions to exchange rates than Latin America.