Effects of Oil Price Shocks and Macroeconomic Conditions on Output Fluctuations for Korea
نویسنده
چکیده
Applying the simultaneous-equation model, this study finds that the output elasticity with respect to the real oil price is estimated to be -0.042, indicating that if the real oil price rises 10%, real GDP would decrease by 0.42%. In addition, real output in Korea is positively associated with the money supply, real deficit spending, and the real stock price and negatively influenced by real depreciation of the won.
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