Abstract
Having argued the multi-dimensional character of oil market financialisation as a process entailing the decoupling of asset markets and commodity markets, this chapter introduces the phenomenon of the oil shock as a barometer for clearly revealing and measuring the profound disconnect between market fundamentals and the actual market performance. Employing this approach marks the mechanisms of financialisation more visible than they would otherwise be under normal conditions, hence making it possible to lay bare the underlying dynamics of financialisation of the oil market.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Baumeister, C., & Peersman, G. (2009). Sources of the crude oil market volatility. Bank of Canada and Ghent University.
Bernanke, B., Mark, G., & Mark, W. (1997). Systematic monetary policy and the effects of oil shocks. Brookings Papers on Economic Activity, 91–157.
Blanchard, O., & GalÃ, J. (2008). The macroeconomic effects of oil price shocks: Why are the 2000s so different from the 1970s? In J. Galà & M. Gertler, International dimensions of monetary policy. Chicago: University of Chicago Press.
Bloomberg Data. (2015). Data terminal. London: Bloomberg. Accessed 14 October 2015.
Bruno, M., & Sachs, J. (1985). Economics of worldwide stagflation. Cambridge: Harvard University Press.
Hamilton, J. (1996). This is what happened to the oil price macroeconomic relationship. Journal of Monetary Economics, 38(2), 215–220.
Hooker, M. (2002). Are oil shocks inflationary? Asymmetric and nonlinear specifications versus changes in regime. Journal of Money, Credit, and Banking, 34(2), 540–561.
International Energy Agency. (2004). Analysis of the impact of high oil prices on the global economy. Paris: International Energy Agency.
Lilien, D. (1982). Sectoral shifts and cyclical unemployment. Journal of Political Economy, 90(4), 777–793.
Mork, K. (1989). Oil and the macroeconomy when prices go up and down: An extension of Hamilton’s results. Journal of Political Economy, 97(3), 740–744.
Roubini, N., & Setser, B. (2004). The effects of the recent oil price shock on the U.S. and global economy, Stern School of Business NYU and global economic governance programme. University College Oxford.
Author information
Authors and Affiliations
Copyright information
© 2017 The Author(s)
About this chapter
Cite this chapter
Gkanoutas-Leventis, A. (2017). Oil Shocks as Barometers of the Financialisation Process. In: Spikes and Shocks. Palgrave Macmillan, London. https://doi.org/10.1057/978-1-137-59461-7_6
Download citation
DOI: https://doi.org/10.1057/978-1-137-59461-7_6
Published:
Publisher Name: Palgrave Macmillan, London
Print ISBN: 978-1-137-59460-0
Online ISBN: 978-1-137-59461-7
eBook Packages: Economics and FinanceEconomics and Finance (R0)