Supply shock
Definition: An unplanned change in supply usually occurring because of changes in weather conditions or an external change outside the control of the company or economy.
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Supply shock
n event that influences production capacity and costs in an economy.
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Supply shock - An event that directly alters firms' costs and prices, shifting the economy's aggregate supply curve and thus the Phillips curve.
Supply side measure - A government policy designed to increase output.
SUPPLY SHOCK: A disruption of market equilibrium (that is, a market adjustment) caused by a change in a supply determinant and a shift of the supply curve. A supply shock can take one of two forms--an supply increase or a supply decrease.
Supply shock
An event that influences production capacity and costs in an economy.
Support level ...
Aggregate supply shock Any shock that causes the aggregate supply curve to shift inward or outward.
Aggregates Total amounts or quantities; aggregate demand, for example, is total planned expenditures throughout a nation.
the higher price of oil might be a permanent feature of a changed natural resource regime, on the other side researchers were also exploring how the economy should adjust to the new international oil context generated by sudden oil supply shocks.
Still other theorists emphasize the role of occasional "supply shocks" - sudden and unexpected changes in the supply of key resources resulting from weather cycles, natural disasters, international conflicts, ...
The equation of exchange warns us that for a 'supply shock' to account for a large rise in the general price level (not just a relative rise in some prices, such as the price of oil), the economy's output must shrink by a large percentage.
It is, of course, possible that certain supply shocks will intermittently drive up commodity prices, but the most probable scenario is that structural price inflation in grains and soft commodities will be demand-led.
Related Searches oil supply shocks lutz kilian gdp inflation bretton woods agreement fed funds rate global liquidity
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The existence of a stable Phillips Curve came into serious question in the era of Supply Shocks:
The most recent era, which we might label Victory Over Inflation, shows little apparent evidence of a downward sloping Phillips Curve: ...
Because oil is used in essentially every industry, this sent supply shockwaves throughout the United States, and overall prices went up, while wages paid stayed the same.
Self-financing of a supplier's operations.
Supply shock
An event that influences production capacity and costs in an economy.
Supply-side economics ...
price shock a change in the price of a key commodity such as oil, usually because of a shortage, that causes a shift in the price adjustment line; also sometimes called a supply shock. (28) ...
Supply shock [r]: A sudden change in the price or availability of goods or services - such as might result from an earthquake or an increase in the oil price. [e] ...
 See also: Shock, Saving, Banks, Liquid asset, Production capacity
  
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