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Can Major Public Health Emergencies Affect Changes in International Oil Prices?

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  • An Cheng

    (Wu Jinglian School of Economics, Changzhou University, Changzhou 213159, China
    Jiangsu Energy Strategy Research Base, Changzhou University, Changzhou 213159, China)

  • Tonghui Chen

    (Institute of Agricultural Economics and Development, Chinese Academy of Agricultural Sciences, Beijing 100081, China)

  • Guogang Jiang

    (Wu Jinglian School of Economics, Changzhou University, Changzhou 213159, China
    Jiangsu Energy Strategy Research Base, Changzhou University, Changzhou 213159, China)

  • Xinru Han

    (Institute of Agricultural Economics and Development, Chinese Academy of Agricultural Sciences, Beijing 100081, China)

Abstract

In order to deepen the understanding of the impact of major public health emergencies on the oil market and to enhance the risk response capability, this study analyzed the logical relationship between major public health emergencies and international oil price changes, identified the change points, and calculated the probability of abrupt changes to international oil prices. Based on monthly data during six major public health emergencies from 2009 to 2020, this study built a product partition model. The results show that only the influenza A (H1N1) and COVID-19 pandemics were significant reasons for abrupt changes in international oil prices. Furthermore, the wild poliovirus epidemic, the Ebola epidemic, the Zika epidemic, and the Ebola epidemic in the Democratic Republic of the Congo had limited effects. Overall, the outbreak of a Public Health Emergency of International Concern (PHEIC) in major global economies has a more pronounced impact on international oil prices.

Suggested Citation

  • An Cheng & Tonghui Chen & Guogang Jiang & Xinru Han, 2021. "Can Major Public Health Emergencies Affect Changes in International Oil Prices?," IJERPH, MDPI, vol. 18(24), pages 1-13, December.
    • Handle: RePEc:gam:jijerp:v:18:y:2021:i:24:p:12955-:d:697820
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