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The Impacts of Exogenous Oil Supply Shocks on Mediterranean Economies

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Listed:
  • Andrea Bastianin
  • Marzio Galeotti
  • Matteo Manera
Abstract
The security of energy supply is a key geopolitical factor in the relationship between the European Union and the southern neighborhood countries of the Middle East and North Africa region. We study the response of eight Mediterranean economies to exogenous oil supply shocks. We focus on the effects on economic activity - as measured by real Gross Value Added - for the whole economy, as well as for selected industries. We show that there are clear patterns characterizing the response of different economies to an unexpected reduction in global oil production. The main determinants of these patterns are the degree of energy intensity and energy dependence of the country, as well as the composition of its Gross Value Added.

Suggested Citation

  • Andrea Bastianin & Marzio Galeotti & Matteo Manera, 2015. "The Impacts of Exogenous Oil Supply Shocks on Mediterranean Economies," IEFE Working Papers 82, IEFE, Center for Research on Energy and Environmental Economics and Policy, Universita' Bocconi, Milano, Italy.
    • Handle: RePEc:bcu:iefewp:iefewp82
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    References listed on IDEAS

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    Cited by:

    1. Jochen Güntner & Johannes Henler, 2021. "Exogenous Oil supply Shocks in OPEC and Non-OPEC Countries," The Energy Journal, , vol. 42(6), pages 229-246, November.
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    3. Brown, Stephen P.A., 2018. "New estimates of the security costs of U.S. oil consumption," Energy Policy, Elsevier, vol. 113(C), pages 171-192.
    4. Valenti, Daniele & Manera, Matteo & Sbuelz, Alessandro, 2020. "Interpreting the oil risk premium: Do oil price shocks matter?," Energy Economics, Elsevier, vol. 91(C).
    5. Dash, Devi Prasad & Sethi, Narayan & Bal, Debi Prasad, 2018. "Is the demand for crude oil inelastic for India? Evidence from structural VAR analysis," Energy Policy, Elsevier, vol. 118(C), pages 552-558.
    6. Thammarak Srimarut & Waleerak Sittisom, 2020. "Shaping Economic Growth of Thailand through Crude Oil Dynamics: Role of its Exploration, Consumption and Prices," International Journal of Energy Economics and Policy, Econjournals, vol. 10(6), pages 566-572.
    7. Mirza Aqeel Baig & Shahida Wizarat & Javed Iqbal, 2020. "How Pakistani Industries Respond to Local and World Business Cycles," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 10(12), pages 1480-1495, December.
    8. Walheer, Barnabé, 2018. "Labour productivity growth and energy in Europe: A production-frontier approach," Energy, Elsevier, vol. 152(C), pages 129-143.
    9. Afaq Aslanova & Simuzar Mammadova, 2023. "Econometric Analysis of the Effect of Energy Prices on Exchange Rates During War Period," International Journal of Energy Economics and Policy, Econjournals, vol. 13(4), pages 496-502, July.

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    More about this item

    Keywords

    Oil supply shocks; Mediterranean; Growth.;
    All these keywords.

    JEL classification:

    • C22 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Time-Series Models; Dynamic Quantile Regressions; Dynamic Treatment Effect Models; Diffusion Processes
    • E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • Q43 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Energy and the Macroeconomy

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