Unraveling the COVID-19 Pandemic’s Impact on South Korea’s Macroeconomy: Unearthing Novel Transmission Channels within the Energy Sector and Production Technologies

As a consequence of the COVID-19 pandemic, Korea’s economy has experienced significant setbacks. Thus, this article examines implications pandemic on key macroeconomic indicators via transmission channels oil prices and production technology. Using Bayesian estimation impulse response functions for empirical investigation, results suggest that intensified reduction in firm production, consumption oil-based goods, employment, investment. Increasingly, households rely non-oil goods rather than ones. Similarly, drop technology levels brought by stronger impact business output investment but lesser influence household employment. The led to decline as well goods. To sum up, existing Korean literature issue might be improved including findings offered article.