Rising econ star sheds light on power of exchange rates
Campus & Community Rising econ star sheds light on power of exchange rates Oleg Itskhoki, now a Clark Medalist, returns to Harvard Christy DeSmith Harvard Staff Writer March 12, 2025 5 min read Oleg Itskhoki.Veasey Conway/Harvard Staff Photographer Exchange rates aren’t a hot topic in the U.S., due to the dollar dominating global trade and acting as the benchmark for all other currency valuations. “But in most countries of the world, the exchange rate looms very large,” said Professor of Economics Oleg Itskhoki, Ph.D. ’09. “In smaller open economies like Canada, Australia, Switzerland, or even Great Britain and Japan, the exchange rate matters quite a lot. Talk with central bankers in these countries, and they’re often more interested in the exchange rate than in inflation.” Itskhoki, a rising star in international economics, joined the Harvard faculty last summer. The Russian-born macroeconomist is best known for partnering with Dmitry Mukhin on a series of papers showing why exchange rates why exchange...