scholarly journals The impact of refinery and oil demand shocks on the motor fuel market in Sweden

2021 ◽  
Author(s):  
Amin Karimu ◽  
Samuel Salia ◽  
Javed J. Hussain
Keyword(s):  
Motor Fuel ◽  
Demand Shocks ◽  
Oil Demand ◽  
The Impact

Analytical redefinition of DOL and managerial investment decisions

2014 ◽  
Vol 40 (7) ◽  
pp. 734-754 ◽  
Author(s):  
Yoram Kroll ◽  
David Yechiam Aharon
Keyword(s):  
Large Scale ◽  
Investment Decision ◽  
Production Level ◽  
Fixed Cost ◽  
Theoretical Formulation ◽  
Optimal Production ◽  
Demand Shocks ◽  
Content Type ◽  
Operating Leverage ◽  
The Impact

Purpose – The purpose of this paper is to develop alternative analytical measures for the degree of operating leverage (DOL) that reflect the impact of uncertain demand shocks in the product's market on optimal production levels, sales and profits of the firm. Design/methodology/approach – The elasticity measures are constructed according to a theoretical formulation of optimal production level that corresponds to demand shocks for given predetermined levels of fixed cost. Findings – The paper suggests two main findings. First, the analytical marginal DOL is at least twice the traditional DOL depending on the structure of the shock, the production function and demand's elasticity. The traditional DOL is equal to the measure only when large-scale negative demand prompts the firm to abandon production. Second, the paper also provides an analytical measure of DOL in terms of elasticity of profit to sales rather than to production level. Both theoretically and empirically elasticity of profit to sales can be better measured and better reflects risk. Research limitations/implications – This paper should be extended to encompass multiple shocks on demand and supply while investigating the empirical multi variants distribution of the shocks. Practical implications – The model can be used by managers who are well informed about the fixed and variable costs of their firm. The model determines the mean profit- risk trade off which is an important factor in all investment decision problems. Originality/value – Surprisingly and according to the best knowledge, this paper is the first attempt in the literature for alternative analytical DOLs’ formulations that is coherent with basic economic theories of optimal production level under risk.

scholarly journals How do oil producers respond to oil demand shocks?

2014 ◽  
Vol 44 ◽  
pp. 1-13 ◽  
Author(s):  
Jochen H.F. Güntner
Keyword(s):  
Demand Shocks ◽  
Oil Demand

Measuring the Impact of Negative Demand Shocks on Car Dealer Networks

2012 ◽  
Vol 31 (1) ◽  
pp. 4-23 ◽  
Author(s):  
Paulo Albuquerque ◽  
Bart J. Bronnenberg
Keyword(s):  
Demand Shocks ◽  
The Impact

Reverse hysteresis? Persistent effects of autonomous demand expansions

2020 ◽  
Vol 44 (4) ◽  
pp. 835-869 ◽  
Author(s):  
Daniele Girardi ◽  
Walter Paternesi Meloni ◽  
Antonella Stirati
Keyword(s):  
Fixed Effects ◽  
Inflation Rate ◽  
Aggregate Demand ◽  
Participation Rate ◽  
Fixed Effects Model ◽  
Demand Shocks ◽  
Short Run ◽  
Demand Fluctuations ◽  
The Impact ◽  
Local Projections

Abstract Empirical works documenting highly persistent effects of negative demand shocks (‘hysteresis’) have questioned the prevailing wisdom that potential output is exogenous to aggregate demand fluctuations. We assess whether the effects of positive demand shocks also tend to persist beyond the short run. We estimate the impact of 126 aggregate demand expansions in OECD countries between 1960 and 2015 through local projections, using a dynamic two-way fixed-effects model and a propensity score-based specification. We find that demand expansions exert positive persistent effects on GDP, participation rate and capital stock. Effects on the unemployment rate and productivity are also strong and quite persistent, but evidence regarding their permanence is mixed. The effect on the inflation rate is positive but small and imprecisely estimated, and there is no sign of accelerating inflation. Our results bear relevant implications for existing models of hysteresis and for theories of demand-led growth.

Oil demand shocks reconsidered: A cointegrated vector autoregression

2014 ◽  
Vol 41 ◽  
pp. 33-40 ◽  
Author(s):  
Marek Kolodzeij ◽  
Robert.K. Kaufmann
Keyword(s):  
Vector Autoregression ◽  
Demand Shocks ◽  
Oil Demand

Impact of performance properties of regenerated engine oil on marine diesel wear when it runs on different grades of fuel

2019 ◽  
Vol 2019 (4) ◽  
pp. 71-81
Author(s):  
Валерий Тарасов ◽  
Valery Tarasov ◽  
Анатолий Соболенко ◽  
Anatoly Sobolenko
Keyword(s):  
Diesel Engine ◽  
Experimental Studies ◽  
Motor Fuel ◽  
Engine Oil ◽  
Oil Refining ◽  
Fuel Quality ◽  
Marine Fuel ◽  
Wide Range ◽  
Marine Diesel ◽  
The Impact

The article focuses on studying the operational properties of regenerated engine oils in terms of the impact on the wear of friction units of the trunk diesel engine when it works on the fuel of different grades. There have been built generalized models of marine diesel parts wear on the basis of experimental studies. Diesel 2Ч10,5/13 was used for experiments. Wear was determined by the method of artificial bases and by weighting. Four groups of the main indicators of fuels used on ships have been considered (depending on the quality indicator). The first group includes distillate fuels and low-viscosity marine fuel which is close in its characteristics to foreign fuels. The second group includes motor fuel, naval fuel oil and export fuels (medium viscosity fuels). The third group presents high-viscosity marine fuel; the fourth group - fuels made from the remains of oil refining. The description of the generalized model of details wear of the tested diesel engine was carried out by a polynomial of the second order. To obtain the model, a non-position plan was chosen for three test variables: concentration of additives in oil, a fuel quality factor and a level of diesel forcing. The superposition of the hypersurfaces of the response of wear functions of the internal combustion engine with diesel boosting factors at zero, lower, and upper levels with visualizing the effect on engine wear parameters depending on the additives concentration and quality of the fuel used in testing regenerated engine oil has been illustrated. Verification of the model's adequacy has proved that the model is adequate for machines with average effective pressure and a wide range of fuel grades. There has been given the possibility of using the obtained model to estimate the wear value at different values of parametric factors

scholarly journals Commentaries and Rejoinder to “Measuring the Impact of Negative Demand Shocks on Car Dealer Networks” by Paulo Albuquerque and Bart J. Bronnenberg

2012 ◽  
Vol 31 (1) ◽  
pp. 24-35 ◽  
Author(s):  
Dominique M. Hanssens ◽  
Devavrat Purohit ◽  
Richard Staelin ◽  
Paulo Albuquerque ◽  
Bart J. Bronnenberg
Keyword(s):  
Demand Shocks ◽  
The Impact

scholarly journals Modeling the Impact of Agricultural Shocks on Oil Price in the US: A New Approach

2019 ◽  
Vol 12 (3) ◽  
pp. 147 ◽  
Author(s):  
Vu ◽  
Vo ◽  
Ho ◽  
Van
Keyword(s):  
Crude Oil ◽  
Agricultural Sector ◽  
Oil Price ◽  
Biofuel Production ◽  
Agricultural Commodity ◽  
Agricultural Market ◽  
Demand Shocks ◽  
The Us ◽  
Agricultural Shocks ◽  
The Impact

The current literature has generally considered prices of the agricultural commodity as an endogenous factor to crude oil price. As such, the role of the agricultural market in the energy sector has been largely ignored. We argue that the expansion of agricultural production may trigger a significant increase in oil price. In addition, the world has recently witnessed a growth in biofuel production, leading to an increase in the size of the agricultural sector. This study is conducted to examine the impact of different agricultural shocks on the oil and agricultural markets in the US for the period from 1986 to 2018. The study utilizes the Structural Vector Autoregressive (SVAR) model to estimate the relationship between the agricultural market and the crude oil market. Moreover, the variance decomposition is also used to quantify the contribution of agricultural demand shocks on oil price variations. Findings from this paper indicate that different agricultural shocks can have different effects on oil price and that corn use in ethanol plays an important role in the impact of corn demand shocks on oil price. We find evidence that the agricultural market can have an impact on oil prices through two main channels: indirect cost push effect and direct biofuel effect. Of these, the biofuel channel unexpectedly suggests that the expansion of bioethanol may in fact foster the dependency of the economy on fossil fuel use and prices.

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