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What is the effect of the 2008 economic crisis and the Covid-19 pandemic crisis on oil consumption in selected OECD countries?

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  • Faisal, Sabah MohamadReza
  • Salari, Taghi Ebrahimi
  • Adibian, Mohammad Sadegh

Abstract

The purpose of this research is to investigate and compare the impact of the two crises of the Covid-19 pandemic and the financial crisis of 2008 on energy consumption in selected OECD member countries.To do this, the econometric model of simultaneous equations system were used. The time this study focused on was from the beginning of the first season of 2008 to the end of the first season of 2009 as well as the beginning of the first season of 2020 to the beginning of the first season of 2021. The results show that the outbreak of the Covid-19 pandemic has directly reduced oil consumption, while the 2008 financial crisis has increased oil consumption, and both crises have increased the gross domestic product (GDP). On the one hand, the investigation of the indirect effects of the two crises shows that in both crises, the energy consumption of GDP increases, and during the Covid-19 crisis, the effect of oil consumption on GDP decreases, on the other hand, during the financial crisis of 2008, the effect of oil consumption on GDP increases.

Suggested Citation

  • Faisal, Sabah MohamadReza & Salari, Taghi Ebrahimi & Adibian, Mohammad Sadegh, 2024. "What is the effect of the 2008 economic crisis and the Covid-19 pandemic crisis on oil consumption in selected OECD countries?," Energy Policy, Elsevier, vol. 188(C).
    • Handle: RePEc:eee:enepol:v:188:y:2024:i:c:s0301421524000752
    DOI: 10.1016/j.enpol.2024.114055
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    2. Naifar, Nader, 2025. "Interactions between renewable energy tokens, oil shocks, and clean energy investments: Do COP26 policies matter?," Energy Policy, Elsevier, vol. 198(C).
    3. Tiwari, Aviral Kumar & Dam, Mehmet Metin & Altıntaş, Halil & Bekun, Festus Victor, 2025. "The dynamic connectedness between oil price shocks and emerging market economies stock markets: Evidence from new approaches," Energy Economics, Elsevier, vol. 141(C).

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