Document Type


Date of Award


Degree Name

Doctor of Philosophy (PhD)




Devaluation theory has been in and out of the economic spotlight for .any years. Scores of articles have been written by some of the best theorists in economics. However, many unanswered questions have been left for future theorists and empirists to solve.

Devaluation theory has been out of the spotlight for the last ten to twelve years. Nevertheless, twelve years ago it was at the forefront of interest and numerous excellent articles were written on the subject. Someday in the near future devaluation theory might again occupy the spotlight.

This dissertation examines the effectiveness of devaluation in the hope. of indicating potentially important relationships previously un-investigated. This dissertation will break new ground in its discussion of capital flows, the time period analysis, and the introduction of dynamics.