Research examining firms\u27 economic exposures to exchange rate movements has not differentiated periods of foreign currency appreciation and depreciation when estimating exposure coefficients. Recent theoretical developments regarding real options and pricing-to-market suggest corporate exposures may be asymmetric (i.e., the financial performance impact of a foreign currency appreciation may not be offset by the currency\u27s depreciation). Through an empirical examination of manufacturing firms\u27 economic exposures to exchange rate movements, this paper furnishes evidence on exposure asymmetries
