For a Cournot duopoly with a foreign firm exporting to the home firm's market hedging against unfavorable shifts in the stochastic spot exchange rate is analyzed. In a two-stage setting with product market and hedging decisions we show that hedging can be used as a strategic device. Under...

For a causal interpretation of an observed association between an ordered pair of variables (X,Y) one has to assure that the association is not generated by a set of other variables T that influence both, X and Y. The term confounding is used to describe the phenomenon when an association is...