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shocks. In the first three there was a supply shock and in 2020 a demand shock. Changes in oil consumption that are not …
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This paper examines the relationship between monetary policy and oil prices within a world oil demand and supply model … rates is a two-way relationship that depends on the type of oil shock. During a supply shock, rising oil prices caused … interest rates to increase; whereas during a demand shock, falling interest rates caused oil prices to rise. Record low …
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I estimate a dynamic stochastic general equilibrium (DSGE) model for the United States that incorporates oil market shocks and risk shocks working through credit market frictions. The findings of this analysis indicate that risk shocks play a crucial role during the Great Recession and the...
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This paper examines the impact of Chinese economic growth on the real price of crude oil based on monthly time series data from 1992:01 to 2017:06 using structural vector auto-regression (SVAR). The variables of the SVAR model are global crude oil production, index of global economic activity,...
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When quantifying the importance of supply and demand for oil price fluctuations, a wide range of estimates have been reported. Models identified via a sharp upper bound on the short-run price elasticity of supply find supply shocks to be minor drivers. In turn, when replacing the upper bound...
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