Macroeconomic outcomes of OPEC and non-OPEC oil supply shocks in the euro area

Cai, Yifei, Zhang, Dongna, Chang, Tsangyao and Lee, Chien-Chiang (2022) Macroeconomic outcomes of OPEC and non-OPEC oil supply shocks in the euro area. Energy Economics, 109. p. 105975. ISSN 0140-9883

ee-revisions-2022220 proofread.pdf - Accepted Version
Available under License Creative Commons Attribution Non-commercial No Derivatives 4.0.

Download (6MB) | Preview
Official URL:


Exogenous OPEC and non-OPEC oil supply cuts, which are identified within an SVAR model with unplanned oil supply outage as an external instrument, decrease industrial production and raise unemployment rate in the euro area. However, the transmissions to consumer price are different when OPEC and non-OPEC oil supply cuts are respectively considered. Further analyses are implemented with datasets of different sectors and individual countries. The results are robust against different identification strategies and variations in empirical specifications. Finally, our findings signify policy implications for enhancing energy security in the European Union.

Item Type: Article
Uncontrolled Keywords: OPEC and non-OPEC, Oil supply shocks, European macroeconomy, VAR, External instrument
Subjects: L100 Economics
N300 Finance
Department: Faculties > Business and Law > Newcastle Business School
Depositing User: John Coen
Date Deposited: 16 Sep 2022 11:45
Last Modified: 24 Sep 2023 03:30

Actions (login required)

View Item View Item


Downloads per month over past year

View more statistics