Oil Price-Macroeconomy Causality: Evidence from Emerging Economies


Published On: 2021-09-16 11:26:30

Price: ₹ 500



Author: Mushtaq Ahmad Malik and Tasneem Khan

Author Address: Research Scholar, Department of West Asian and North African Studies, and Research Scholar, Department of Commerce, Aligarh Muslim University, Aligarh-202002 (Uttar Pradesh)

Keywords: Economic growth, oil exporters, oil importers

JEL Codes: Q02, O40, O53


Abstract

This paper investigates whether changes in oil prices could explain cross-country variations in economic growth. The sample included WANA countries, China and India. The findings indicated bidirectional oil price-economy causality in the WANA region's oil-exporting countries. In addition, a unidirectional causality running from changing oil prices to growth was found in the WANA region. However, there was no clear oil price-economy causal relationship for non-oil WANA countries, China and India. The study recommended diversification and fuel pricing reforms to create a robust fiscal balanced and sustained economic growth.





Description

Indian Journal of Economics and Development
Volume 17 No. 3, 2021, 608-615

DOI: https://doi.org/10.35716/IJED/21010
Indexed in Clarivate Analytics (ESCI) of WoS
Scopus: Title Accepted
NAAS Score: 5.15