OIL, UNCERTAINTY, AND GASOLINE PRICES

2016 ◽  
Vol 22 (3) ◽  
pp. 546-561 ◽  
Author(s):  
Dongfeng Chang ◽  
Apostolos Serletis
Keyword(s):  
Crude Oil ◽  
The United States ◽  
Oil Price ◽  
Multivariate Garch ◽  
Gasoline Prices ◽  
Price Uncertainty ◽  
Structural Vector Autoregression ◽  
Alternative Measures ◽  
The Relationship ◽  
Positive Effect

In this paper we investigate the relationship between crude oil and gasoline prices and also examine the effect of oil price uncertainty on gasoline prices. The empirical model is based on a structural vector autoregression that is modified to accommodate multivariate GARCH-in-Mean errors. We use monthly data for the United States over the period from January 1976 to September 2014. We find that there is an asymmetric relationship between crude oil and gasoline prices, and that oil price uncertainty has a positive effect on gasoline price changes. Our results are robust to alternative model specifications and alternative measures of the price of oil.

The Impact of Energy on the Adoption of Conservation Tillage in the United States

1998 ◽  
Vol 9 (5) ◽  
pp. 549-568
Author(s):  
Noel D. Uri
Keyword(s):  
United States ◽  
Crude Oil ◽  
Conservation Tillage ◽  
The United States ◽  
Structural Instability ◽  
Special Importance ◽  
The Real ◽  
Real Price ◽  
The Impact ◽  
The Relationship

The impact of energy on the adoption of conservation tillage is of special importance in addressing concerns about the effect of agricultural production on the environment in the United States. It is the subject of this paper. After establishing that a relationship exists between the price of energy and the adoption of conservation tillage via cointegration techniques, the relationship is quantified. It is shown that while the real price of crude oil, the proxy used for the price of energy, does not affect the rate of adoption of conservation tillage, it does impact the extent to which it is used. Finally, there is no structural instability in the relationship between the relative use of conservation tillage and the real price of crude oil over the period 1963 to 1997.

scholarly journals “Shale Revolution” in the United States as the Main Driver of the World Oil Market Transformation

2019 ◽  
Vol 12 (6) ◽  
pp. 71-93
Author(s):  
S. A. Zolina ◽  
I. A. Kopytin ◽  
O. B. Reznikova
Keyword(s):  
United States ◽  
Crude Oil ◽  
Oil Production ◽  
The United States ◽  
Oil Price ◽  
Oil Market ◽  
Oil Exports ◽  
The World ◽  
Oil Sector ◽  
The U.S

In 2018 the United States surpassed Saudi Arabia and Russia to become the largest world oil producer. The article focuses on the mechanisms through which the American shale revolution increasingly impacts functioning of the world oil market. The authors show that this impact is translated to the world oil market mainly through the trade and price channels. Lifting the ban on crude oil exports in December 2015 allowed the United States to increase rapidly supply of crude oil to the world oil market, the country’s share in the world crude oil exports reached 4,4% in 2018 and continues to rise. The U.S. share in the world petroleum products exports, on which the American oil sector places the main stake, reached 18%. In parallel with increasing oil production the U.S. considerably shrank crude oil import that forced many oil exporters to reorient to other markets. Due to high elasticity of tight oil production to the oil price increases oil from the U.S. has started to constrain the world oil price from above. According to the majority of authoritative forecasts, oil production in the U.S. will continue to increase at least until 2025. Since 2017 the tendency to the increasing expansion of supermajors into American unconventional oil sector has become noticeable, what will contribute to further strengthening of the U.S. position in the world oil market and accelerate its restructuring.  

The Economics of Old Field Oil Supply

1989 ◽  
Vol 7 (1) ◽  
pp. 1-14
Author(s):  
Richard D. Farmer
Keyword(s):  
United States ◽  
Crude Oil ◽  
The United States ◽  
Oil Field ◽  
Oil Fields ◽  
Crude Oil Price ◽  
Old Field ◽  
Price Controls ◽  
The Relationship ◽  
Production Losses

Most additions to proved reserves of crude oil in the United States are associated with reserve revisions and reservoir extensions, which derive exclusively from the continuing development of known oil fields. This paper reviews the major activities pursued by oil field operators that determine the level of production from those fields. Reported reserve additions reflect the consequencies of these activities for the productive capability of old fields and, thus, should be expected to be related to the costs and benefits of investing in such activities. A simple econometric, analysis is presented that demonstrates the influence of oil prices, lifting costs, taxes, and crude oil price controls on reported reserve revisions and extensions for the United States for the period 1970–1986. The strength of the relationship evaluated is particularly striking in light of the year-to-year variability of revisions data noted in other studies. Based on the economic perspective of reserve additions outlined here, U.S. reserves data for 1986 are used to provide a look at the activities that may thus be presumed to have led to the production losses recorded in that watershed year.

Protocol to Assess the Impact of Crude Oil Price Fluctuations on Future Asphalt Prices

2021 ◽  
pp. 036119812199207
Author(s):  
Kaylyn M. Cardinal ◽  
Mohamed Khalafalla ◽  
Jorge Rueda-Benavides
Keyword(s):  
Crude Oil ◽  
Price Index ◽  
Oil Price ◽  
Crude Oil Price ◽  
Statistical Process ◽  
Economic Implications ◽  
Price Fluctuations ◽  
Time Gap ◽  
The Impact ◽  
The Relationship

It is clear for the transportation industry that asphalt prices are heavily affected by changes in the crude oil market. This occurs because asphalt is a byproduct of the process of refining crude oil. However, there is still a lack of research on assessing the economic implications of this relationship. This paper assesses those implications through an innovative statistical process designed to quantify the economic correlation between asphalt and crude oil price fluctuations in Alabama. The proposed statistical process is used in this paper to model the relationship between the Alabama Department of Transportation’s (ALDOT’s) monthly asphalt price index and a national crude oil index published by the US Energy Information Administration. The process quantifies the relationship between these two commodities in relation to two metrics: (1) the time gap between an observed change in the crude oil index and its corresponding impact on the asphalt price index and (2) the magnitude of that impact. It was found that the most likely time gap between crude oil and asphalt price fluctuations in Alabama is 3 months, with a change ratio of 0.58. This means that a 1% increase in the price of crude oil would most likely affect the Alabama asphalt market 3 months later with a price increase of about 0.58%. Recognizing that these are just average values, the paper also presents a risk assessment tool that provides ALDOT with the probability of occurrence of different scenarios taking into consideration the observed variability in time gaps and change ratios.

Clustering of oil refining plants in Russia

2020 ◽  
Author(s):  
Alina A. Tagaeva ◽  
◽  
Yuri A. Dziuba ◽  
Keyword(s):  
Crude Oil ◽  
Russian Federation ◽  
Oil Price ◽  
Refining Industry ◽  
Oil Refining ◽  
Applied Method ◽  
Processing Depth ◽  
Positive Effect ◽  
Refine Crude ◽  
Made In

Today in Russian Federation there are more than 30 oil–refining plants that refine crude oil and make final consumption products. Because of a necessity of quick modernization of oil–refining plants taxes reforming decisions were made in 2014. In 2015 statistics showed a positive effect occurred by these measures and Russian oil refining industry became more competitive despite the low oil price fact. Nevertheless there are still problems as low processing depth, incomplete loading of facilities and really low indicators of particular plants. So the applied method of clustering oil refining plants was made to make recommendations for every group in order to make whole industry more effective.

scholarly journals Effect of Oil Prices Fluctuation on Stock Indices-Comparative Study

2021 ◽  
pp. 80-89
Author(s):  
Ahmed J. Al-Dahlaki ◽  
Ghadhanfer A. Hussein ◽  
Mohammed S. Ahmed
Keyword(s):  
New York ◽  
Saudi Arabia ◽  
Comparative Study ◽  
Financial Markets ◽  
Crude Oil ◽  
Oil Prices ◽  
Oil Price ◽  
Market Index ◽  
Stock Indices ◽  
The Relationship

The study aims to examine the nature of the relationship and the effect of oil price fluctuations on stock indices in the financial markets of exporting and importing countries. For achieving that, the price of Brent crude oil was chosen as an index from the stock markets in Saudi Arabia, Russia and Iraq as oilexporting countries. While the market index was chosen from the markets of New York, Shanghai and Nikkei as an oil importer. The study came out with a set of conclusions and recommendations. The most important is that the degree of response of stock indices to fluctuations in oil prices was greater in exporting countries than in importing countries.

Sign in / Sign up

Export Citation Format

Share Document