The evolution of oil prices is typically subject to a very high degree of uncertainty, given the extremely volatile nature of conditions that affect prices. Information on the future of oil prices is, however, extremely important for market operators as well as for central banks. Central banks, in particular, have a forward-looking perspective, attaching a very important role to inflation forecasts. This uncertainty tends to reinforce the importance of the relationship between oil prices and inflation, independently of estimates of the effects of a permanent change in oil prices on inflation and how to forecast oil prices. Two alternative technical assumptions on oil prices are worth mentioning: (more…)
The focus of this section is on the quantitative assessment of the impact of oil price fluctuations on inflation. For that purp ...
The volatility in oil prices since the early 1970s is a remarkable feature of energy economics. Annual fluctuations in the oil ...
In the post-World War II period, until the beginning of the 1970s, oil price fluctuations were very small. From 1949 to 1970, a ...
Most major oil and gas firms engage in both upstream (i.e., hydrocarbon exploration and production) and downstream (i.e., hydro ...
Energy is consumed by various segments of the economy, including households, commercial establishments, manufacturing enterpris ...
The volatility in oil prices since the early 1970s is a remarkable feature of energy economics. Annual fluctuations in the oil price level, as measured by the absolute value of year-to-year price changes, averaged only 1% in the 1949–1970 period; from 1970 to date, these fluctuations increased dramatically, reaching an order of magnitude of 30% per year. Even in the relatively stable period from 1986 to 1997, oil prices were more volatile than other primary commodities. (more…)
In the post-World War II period, until the beginning of the 1970s, oil price fluctuations were very small. From 1949 to 1970, a ...
The focus of this section is on the quantitative assessment of the impact of oil price fluctuations on inflation. For that purp ...
The evolution of oil prices is typically subject to a very high degree of uncertainty, given the extremely volatile nature of c ...
Most major oil and gas firms engage in both upstream (i.e., hydrocarbon exploration and production) and downstream (i.e., hydro ...
There are many possible reasons for suspecting market failure in a product like gasoline. Throughout the world, the exploration ...
The focus of this section is on the quantitative assessment of the impact of oil price fluctuations on inflation. For that purpose, the empirical evidence provided by an OECD study is briefly described. The study considered a permanent oil price increase of about $10, vis-a`-vis a baseline where oil prices were projected to remain at the $20–25 level (this shock corresponds to a price increase of about 40–50%). The OECD study presents estimates of the impact on GDP, world trade growth, and inflation, for the G7 countries. The estimates were obtained through the simulation of the OECD macro-econometric model Interlink, assuming fixed nominal exchange rates, real interest rates kept at baseline levels, and unchanged real government expenditures. The main results of this exercise, with respect to the impact on oil prices inflation, are reported in Table I. (more…)
The volatility in oil prices since the early 1970s is a remarkable feature of energy economics. Annual fluctuations in the oil ...
The evolution of oil prices is typically subject to a very high degree of uncertainty, given the extremely volatile nature of c ...
In the post-World War II period, until the beginning of the 1970s, oil price fluctuations were very small. From 1949 to 1970, a ...
Most major oil and gas firms engage in both upstream (i.e., hydrocarbon exploration and production) and downstream (i.e., hydro ...
There are many possible reasons for suspecting market failure in a product like gasoline. Throughout the world, the exploration ...
In the post-World War II period, until the beginning of the 1970s, oil price fluctuations were very small. From 1949 to 1970, average annual fluctuations of oil prices in U.S. dollars, as measured by the absolute value of year-to-year price changes, were of the order of 1%. Therefore, the real price (i.e., inflation adjusted) slightly declined throughout this period. This so-called Golden Age peak oil impacts period was characterized by a remarkable price stability and very strong gross domestic product (GDP) growth in the main industrialized economies. The stability of oil prices was an important element behind the low inflation and strong economic growth. (more…)
The volatility in oil prices since the early 1970s is a remarkable feature of energy economics. Annual fluctuations in the oil ...
The focus of this section is on the quantitative assessment of the impact of oil price fluctuations on inflation. For that purp ...
The evolution of oil prices is typically subject to a very high degree of uncertainty, given the extremely volatile nature of c ...
Most major oil and gas firms engage in both upstream (i.e., hydrocarbon exploration and production) and downstream (i.e., hydro ...
There are many possible reasons for suspecting market failure in a product like gasoline. Throughout the world, the exploration ...
The increased use of fossil energy since the industrial revolution, and especially since 1950, has been the major cause of increased emissions of air pollutants and, correspondingly, many environmental problems. Emissions due to the use of energy are major sources of sulfur dioxide, nitrogen oxides, carbon dioxide, and soot and constitute a large contribution of methane, non-methane volatile organic compounds, and heavy metals. (more…)
Almost all fossil fuels use is by burning them to create energy. Burning process then produces waste products due to impurities in ...
Acid deposition and the associated particulate nitrates and sulfates are implicated in the deterioration of certain sensitive e ...
Since the early 1960s, climate change and air quality have become major and often controversial issues in many countries and am ...
Smoke from biomass and coal combustion contains a large number of pollutants with known health hazards, including particulate matte ...
It is a reasonable and sensible action to tighten our belts and cut spending as living cost are climbing nowadays. We have to make small sacrifices if we want to survive the economic crisis which we don’t know when it will be ended.
For some folks cutting down expenses are difficult, but actually it is not going to be hard as we thought. Starting with small changes like re-arranging your home power consumption to be energy efficient would be a good start. If you manage to save some bill on household power consumption a bit often, the accumulation effect over a length period of time will be enormous. At the end it can help you in better shaping your financial situation. (more…)
10 benefits of Solar Energy: No 1 Solar energy is renewable. We never have to worry about running out of sunlight or usi ...
If water is put on the floor on a cleaning operation, it tends to dry rapidly after a short time. In this position, we say that ...
Extensive insulation repairs are usually done by contractors having the specific skills and equipment appropriate to the type o ...
Natural gas is found mainly in underground reservoirs and in coal beds. Natural gas is a fossil fuel that consist primarily of ...
Public acceptance (PA) clusters are defined by a number of rather intangible commonalties dealing with social values and public ...