How oil prices affect East and Southeast Asian economies: Evidence from financial markets and implications for energy security

Willem Thorbecke

Energy Policy, 2019, vol. 128, issue C, 628-638

Abstract: Oil prices have been volatile. To investigate how oil price swings affect Asian economies, this paper examines how they affect industry and aggregate stock returns. Economic theory implies that there is a strong link between a sector's stock return and its economic activity. Evidence presented here indicates that sectors such as airlines, food, and industrial transportation are harmed by oil price increases and that sectors such as oil and gas production and exploration benefit. The findings also reveal that many industries within each country are impacted by oil prices. The paper concludes by offering several suggestions to help Asian economies weather the effects of oil price changes and increase energy security.

Keywords: Crude oil prices; East Asia; Stock returns; Energy security (search for similar items in EconPapers)
JEL-codes: G14 Q43 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (31)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0301421519300436
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:enepol:v:128:y:2019:i:c:p:628-638

DOI: 10.1016/j.enpol.2019.01.044

Access Statistics for this article

Energy Policy is currently edited by N. France

More articles in Energy Policy from Elsevier
Bibliographic data for series maintained by Catherine Liu ().