The Relationship of Natural Gas to Oil Prices

Peter Hartley, Kenneth Medlock and Jennifer E. Rosthal

The Energy Journal, 2008, vol. 29, issue 3, 47-66

Abstract: We investigate the relationship between the prices of natural gas and crude oil, and the factors that cause short run departures from the long run equilibrium price relationship. We find evidence that the link between natural gas and crude oil prices is indirect, acting through competition at the margin between natural gas and residual fuel oil. We also find that technology is critical to the long run relationship between fuel prices, and short run departures from long run equilibrium are influenced by product inventories, weather, other seasonal factors and supply shocks such as hurricanes.

Keywords: Natural gas; oil prices; ECM price relationship; US (search for similar items in EconPapers)
Date: 2008
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://journals.sagepub.com/doi/10.5547/ISSN0195-6574-EJ-Vol29-No3-3 (text/html)

Related works:
Journal Article: The Relationship of Natural Gas to Oil Prices (2008)
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:sae:enejou:v:29:y:2008:i:3:p:47-66

DOI: 10.5547/ISSN0195-6574-EJ-Vol29-No3-3

Access Statistics for this article

More articles in The Energy Journal
Bibliographic data for series maintained by SAGE Publications ().