German imports prices react slowly to Euro exchange rate changes.
This article looks at how changes in the euro exchange rate affect the prices of German imports. The study finds that this price change is not immediate and usually takes a little over three months to happen. The research shows that the extent of this price change varies depending on the country of origin of the imports. Imports from European countries outside the eurozone have no price change, while imports from non-European trading partners have incomplete price changes. The study also examines whether the price changes differ depending on whether the exchange rate goes up or down, and how big the change is.