Does Crude Oil Prices have Effect on Exports, Imports and GDP on BRICS Countries? - An Empirical Evidence

Authors

  • Shripad Ramchandra Marathe Research Schlor
  • Guntur Anjana Raju Professor and Programme Director for Doctor of Philosophy (Commerce), Goa Business School, Goa University, Taleigao Goa.

Abstract

The complexity of the World Oil market has risen significantly in recent years and today's Oil prices require new methods to consider, model and forecast. In addition to the start of the Oil markets financialization era, structural changes have occurred on the global Oil market. This paper presents a simple framework for understanding the effect of Oil prices on BRICS countries' macroeconomic variables over a period of time from 1st January 2000 to 31st December 2019 using the Cointegration, Vector Error Correction Model (VECM) and Granger Causality test. Our analysis shows that there is a long-term relationship between the Macroeconomic variables and Crude Oil, and also suggests that there is a uni-directional and bi-directional relationship between the variables in BRICS.Keywords: Crude Oil prices, BRICS, Granger Causality, Co-integration, Vector Error Correction ModelJEL Classifications: G12, G15, Q43DOI: https://doi.org/10.32479/ijeep.10018

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Author Biographies

Shripad Ramchandra Marathe, Research Schlor

Working as a research scholar

Guntur Anjana Raju, Professor and Programme Director for Doctor of Philosophy (Commerce), Goa Business School, Goa University, Taleigao Goa.

Professor and Programme Director for Doctor of Philosophy (Commerce), Goa Business School, Goa University, Taleigao Goa

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Published

2020-10-10

How to Cite

Marathe, S. R., & Raju, G. A. (2020). Does Crude Oil Prices have Effect on Exports, Imports and GDP on BRICS Countries? - An Empirical Evidence. International Journal of Energy Economics and Policy, 10(6), 524–528. Retrieved from https://econjournals.com.tr/index.php/ijeep/article/view/10018

Issue

Vol. 10 No. 6 (2020)

Section

Articles

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