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This paper explores from a regional perspective the distorted nature of trade in energy products within the CIS countries. The persistence of pricing distortions, barter arrangements, and discriminatory access to pipelines, as well as failure to honor contracts, has disrupted and distorted energy exports to non-CIS countries, undermined energy sector reforms, and distorted investment decisions. The paper focuses on cross-border issues as an integral component of the wider problem of inefficient energy use within the CIS. Several policy recommendations are proposed, including measures to foster greater competition, reduce state involvement, and promote regional cooperation.

Investments: Energy --- Exports and Imports --- Macroeconomics --- Industries: Energy --- Empirical Studies of Trade --- Economic Integration --- Gas Utilities --- Pipelines --- Water Utilities --- Energy: General --- Trade: General --- Energy and the Macroeconomy --- Energy: Demand and Supply --- Prices --- Electric Utilities --- Investment & securities --- International economics --- Petroleum, oil & gas industries --- Oil --- Exports --- Energy sector --- Energy prices --- Electricity --- Commodities --- International trade --- Economic sectors --- Petroleum industry and trade --- Energy industries --- Electric utilities --- Russian Federation

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The Covid-19 pandemic has disrupted global supply chains, leading to shipment delays and soaring shipping costs. We study the impact of shocks to global shipping costs—measured by the Baltic Dry Index (BDI)—on domestic prices for a large panel of countries during the period 1992-2021. We find that spikes in the BDI are followed by sizable and statistically significant increases in import prices, PPI, headline, and core inflation, as well as inflation expectations. The impact is similar in magnitude but more persistent than for shocks to global oil and food prices. The effects are more muted in countries where imports make up a smaller share of domestic consumption, and those with inflation targeting regimes and better anchored inflation expectations. The results are robust to several checks, including an instrumental variables approach in which we instrument changes in shipping costs with an indicator of closures of the Suez Canal.

Macroeconomics --- Economics: General --- Inflation --- Production and Operations Management --- Price Level --- Deflation --- Prices, Business Fluctuations, and Cycles: Forecasting and Simulation --- Energy and the Macroeconomy --- Energy: Demand and Supply --- Prices --- Macroeconomics: Production --- Macroeconomics: Consumption --- Saving --- Wealth --- Economic & financial crises & disasters --- Economics of specific sectors --- Import prices --- Oil prices --- Output gap --- Production --- Producer prices --- Currency crises --- Informal sector --- Economics --- Imports --- Economic theory --- Consumption

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Building on recent work on the role of speculation and inventories in oil markets, we embed a competitive oil storage model within a DSGE model of the U.S. economy. This enables us to formally analyze the impact of a (speculative) storage demand shock and to assess how the effects of various demand and supply shocks change in the presence of oil storage facility. We find that business-cycle driven oil demand shocks are the most important drivers of U.S. oil price fluctuations during 1982-2007. Disregarding the storage facility in the model causes a considerable upward bias in the estimated role of oil supply shocks in driving oil price fluctuations. Our results also confirm that a change in the composition of shocks helps explain the resilience of the macroeconomic environment to the oil price surge after 2003. Finally, speculative storage is shown to have a mitigating or amplifying role depending on the nature of the shock.

Business & Economics --- Industries --- Petroleum products --- Prices --- Econometric models. --- Storage. --- Mazut --- Petroleum --- Hydraulic fluids --- Refining --- Prices&delete& --- Econometric models --- Storage --- E-books --- Investments: Energy --- Inflation --- Macroeconomics --- Economic Theory --- General Aggregative Models: Keynes --- Keynesian --- Post-Keynesian --- Energy and the Macroeconomy --- Energy: Demand and Supply --- Energy: General --- Commodity Markets --- Price Level --- Deflation --- Agriculture: Aggregate Supply and Demand Analysis --- Investment & securities --- Economic theory & philosophy --- Oil prices --- Oil --- Commodity price fluctuations --- Supply shocks --- Commodities --- Economic theory --- Petroleum industry and trade --- Supply and demand --- United States

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The carbon tax is a major instrument for curbing greenhouse gas emissions that cause global warming. Yet its adoption has been limited because of concerns over its effects on economic growth, income distribution, and international competitiveness. The paper shows that policymakers can minimize the effects of the tax on economic growth through an efficient recycling of tax revenues and on equity through the adoption of appropriate mitigating or compensating measures. To eliminate the worry about the loss of competitiveness, the paper suggests an international agreement on a coordinated adoption of the tax.

Public Finance --- Taxation --- Environmental Economics --- Environmental Conservation and Protection --- Fiscal Policy --- International Policy Coordination and Transmission --- Taxation, Subsidies, and Revenue: General --- Taxation and Subsidies: Externalities --- Redistributive Effects --- Environmental Taxes and Subsidies --- Renewable Resources and Conservation: Government Policy --- Energy and the Macroeconomy --- Climate --- Natural Disasters and Their Management --- Global Warming --- Environmental Economics: General --- Public finance & taxation --- Climate change --- Environmental economics --- Carbon tax --- Greenhouse gas emissions --- Revenue administration --- Environment --- Taxes --- Environmental impact charges --- Climatic changes --- Greenhouse gases --- Revenue --- Environmental sciences --- United States

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In this paper, we use micro panel data to examine the effects of oil price changes on employment and real wages, at the aggregate and industry levels. We also measure differences in the employment and wage responses for workers differentiated on the basis of skill level. We find that oil price increases result in a substantial decline in real wages for all workers, but raise the relative wage of skilled workers. The use of panel data econometric techniques to control for unobserved heterogeneity is essential to uncover this result, which is completely hidden in OLS estimates. We find that changes in oil prices induce changes in employment shares and relative wages across industries. However, we find little evidence that oil price changes cause labor to consistently flow into those sectors with relative wage increases.

Investments: Energy --- Inflation --- Labor --- Macroeconomics --- Energy: Demand and Supply --- Prices --- Price Level --- Deflation --- Energy: General --- Wages, Compensation, and Labor Costs: General --- Employment --- Unemployment --- Wages --- Intergenerational Income Distribution --- Aggregate Human Capital --- Aggregate Labor Productivity --- Demand and Supply of Labor: General --- Wage Level and Structure --- Wage Differentials --- Energy and the Macroeconomy --- Labour --- income economics --- Investment & securities --- Oil prices --- Oil --- Commodities --- Petroleum industry and trade --- Economic theory --- United States