scholarly journals How Should Monetary Policy Respond to Changes in the Relative Price of Oil? Considering Supply and Demand Shocks

2009 ◽  
Author(s):  
Michael Plante
Keyword(s):  
Monetary Policy ◽  
Supply And Demand ◽  
Relative Price ◽  
Demand Shocks ◽  
Supply And Demand Shocks

scholarly journals The Response of G7 Real Exchange Rates to Oil Price Shocks

2018 ◽  
Vol 10 (4) ◽  
pp. 191
Author(s):  
Moayad H. Al Rasasi
Keyword(s):  
Monetary Policy ◽  
Exchange Rate ◽  
Exchange Rates ◽  
Forecast Error ◽  
Supply And Demand ◽  
Real Exchange Rates ◽  
Aggregate Demand ◽  
Demand Shocks ◽  
Oil Supply ◽  
Exchange Rate Shocks

This paper evaluates the response of G7 real exchange rates to oil supply and demand shocks developed by Kilian (2009). We find evidence suggesting that oil shocks are associated with the appreciation (depreciation) of real exchange rates for oil exporting (importing) countries. Further evidence, based on the analysis of forecast error variance decomposition, indicates that oil-specific demand shocks are the main contributor to variation in real exchange rates, whereas oil supply shocks contribute the least. Finally, regarding the role of monetary policy in responding to oil and exchange rate shocks, we find evidence showing monetary policy reacts only to oil-specific demand and aggregate demand shocks in three countries, whereas monetary policy responds to real exchange rate fluctuations in four countries.

scholarly journals The interplay of supply and demand shocks: measuring potential output in the COVID-19 pandemic

2021 ◽  
Vol 45 (4) ◽  
pp. 459-493
Author(s):  
Lovorka Grguric ◽  
◽  
Ozana Nadoveza Jelic ◽  
Nina Pavic ◽  
◽  
...  
Keyword(s):  
Supply And Demand ◽  
Demand Shocks ◽  
Potential Output ◽  
Supply And Demand Shocks
Sign in / Sign up

Export Citation Format

Share Document