In order to assess the impact of an oil-price shock on the Chilean economy, this paper applies the sign constraint methodology of impulse-response functions to distinguish the effects of different types of shock, namely supply, demand, or specific demand for oil. To compare the results from...

The significant reduction of the monetary policy rate (MPR) during 2009 has offset the rise in lending rates caused by increased uncertainty in the country and abroad. This paper comes to this conclusion after examining the evolution of interest rates of consumer and commercial loans in order to...