Real Exchange Rate Measures of Trade Liberalisation: Some Evidence for Mauritius

This paper investigates how alternative real exchange rate measures might be used to date and measure trade liberalisation. It proposes the use of domestic price data to construct separate real exchange rates for exportables and importables, in order to overcome the ambiguous information provided by a measure of the real exchange rate for tradables as a whole. The paper illustrates the alternative measures for a trade liberalisation episode of Mauritius during the 1980s.