The distributional effects of oil supply news shocks
Pagination
111769 - ?
Publisher
DOI
10.1016/j.econlet.2024.111769
Journal
Economics Letters
ISSN
0165-1765
Metadata
Show full item recordAbstract
This paper uses high frequency data on the distribution of US income to investigate the heterogeneous effects of oil supply news shocks. Using a FAVAR with an external instrument, We show that these shocks have large negative effects on the left and right tail of the distribution. For low income individuals, the effect is driven by a decline in wages and proprietor’s income, while a fall in corporate profits and interest income drives the effect for affluent individuals.
Authors
Drossidis, T; Mumtaz, H; Theophilopoulou, ACollections
- Economics and Finance [371]