To identify those channels, we must keep in mind that the transmission from exchange rates to consumer prices depends importantly on the economic channels that influence pass-through from exchange rates to import prices. Accordingly, I will next review that burgeoning literature and its implications for the transmission process.
More micro evidence on pass-through to import prices Although the price measures upon which monetary policy makers focus the most attention are broad measures of consumer prices, most of the vast literature examining the effects of  BIS Review 27/2008  3  exchange rates on prices focuses on import prices at either an aggregate, sectoral, or industry level.