Template-Type: ReDIF-Article 1.0
Author-Name:  Selien De Schryder and Gert Peersman
Title:  The U.S. Dollar Exchange Rate and the
Demand for Oil
Classification-JEL: F0
Volume:  Volume 36
Issue:  Number 3
Year:  2015
Abstract:   Using recent advances in panel data estimation techniques, we find that an appreciation of the U.S. dollar exchange rate leads to a significant decline in oil demand for a sample of 65 oil-importing countries. The estimated effect turns out to be considerably larger than the impact of a shift in the global crude oil price expressed in U.S. dollar. This finding appears to be the consequence of a stronger pass-through of changes in the U.S. dollar exchange rate to domestic end-user oil products prices relative to changes in the global crude oil price. Furthermore, we demonstrate the relevance of U.S. dollar fluctuations for global oil price dynamics. 
Handle: RePEc:aen:journl:ej36-3-Peersman
File-URL: http://www.iaee.org/en/publications/ejarticle.aspx?id=2636
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