<abstract xmlns="http://www.w3.org/1999/xhtml"><p> This article provides some new empirical perspectives on the relationship between oil-market fluctuations and technological structure of EMU export. We rely on a time-varying parameter VAR model to capture the reaction of different technological structures of EMU export to various oil-market innovations in the period 2002-2015. Our results can be summarized as follows: (1) increase in crude oil production is likely to reduce oil prices and therefore increases all EMU exports due to lower production and transportation costs; (2) increase in global demand is more likely to be transmitted to goods with higher added value; (3) high-tech exports decrease in the first months after the global demand shock as a result of a delayed investment decision process; (4) increasing oil prices yield only marginal effect on EMU export.</p></abstract>

This article provides some new empirical perspectives on the relationship between oil-market fluctuations and technological structure of EMU export. We rely on a time-varying parameter VAR model to capture the reaction of different technological structures of EMU export to various oil-market innovations in the period 2002-2015. Our results can be summarized as follows: (1) increase in crude oil production is likely to reduce oil prices and therefore increases all EMU exports due to lower production and transportation costs; (2) increase in global demand is more likely to be transmitted to goods with higher added value; (3) high-tech exports decrease in the first months after the global demand shock as a result of a delayed investment decision process; (4) increasing oil prices yield only marginal effect on EMU export.

Effects of oil shocks on EMU exports: technological level differences

Review of Economic Perspectives

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

{"article-title":"Effects of oil shocks on EMU exports: technological level differences"}

This article provides some new empirical perspectives on the relationship between oil-market fluctuations and technological structure of EMU export. We rely on...

Effects of oil shocks on EMU exports: technological level differences

Published Online: Dec 21, 2017

Page range: 399 - 423

Received: Mar 14, 2017

Accepted: Oct 18, 2017

DOI: https://doi.org/10.1515/revecp-2017-0021

Keywords
EMU, export, technological structure, TVP-VAR

© by Martin Hodula

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Effects of oil shocks on EMU exports: technological level differences

Published Online: Dec 21, 2017

Page range: 399 - 423

Received: Mar 14, 2017

Accepted: Oct 18, 2017

DOI: https://doi.org/10.1515/revecp-2017-0021

KeywordsEMU, export, technological structure, TVP-VAR

© by Martin Hodula

This work is licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 License.

Keywords
EMU, export, technological structure, TVP-VAR