Gars, Johan; Olovsson, Conny - 2017
To what extent is the international business cycle affected by the fact that an essential input (oil) is traded on the … world market? We quantify the contribution of oil by setting up a model with separate shocks to efficiencies of capital …/labor and oil, as well as global shocks to the oil supply. We find that the shocks to the supply and the efficiency of oil both …