This article examines the shift in the behavior of labor productivity over the business cycle and assesses the supply shock
and structural change explanations for the shift.
A positive demand or supply shock
increases vacancies and the job-finding and job-creation rates, and it decreases the separation and job-destruction rates.
Analyst Rob Chang of Cantor Fitzgerald termed the output cut "earlier than expected", adding that the latest supply shock
will boost strength in spot uranium prices.
While insurers gauge the probability of a large catastrophic event or some latent liability, these scenarios still cause a supply shock
Another potential supply shock
could come from a natural disaster such as a destructive hurricane in the Gulf of Mexico or another devastating wildfire in Canada.
William Adams, head of research at FastMarkets, said in a forecast and analysis report for the third quarter of 2016 that while nickel prices could be very volatile, available stocks were ample enough to dampen any supply shock
Conversely, if they move in opposite directions, QNB interprets this as being driven by an oil supply shock
In contrast, a supply shock
affects global oil production and oil prices simultaneously.
Oil supply shock
trade is not expected to last that long.
However, as long as supply shock
exists in Libya, Iraq, Sudan, Yemen, and Nigeria at a time when theworld economy experiences the first synchronised recovery since 2007, it isdifficult to envisage a sustained fall in crude oil prices.
org/events/boom-bust-how-export-restrictions-imperil-americas-oil-gas-bonanza A once-in-a-generation supply shock
is transforming global energy markets, lowering crude oil and natural gas prices, and quickly making the United States the world's largest producer of oil and gas.
Summary: Maria van der Hoeven, Executive Director of International Energy Agency (IEA), in her own words talk about how North America has set off a supply shock
that is sending ripples throughout the world and in the end, not everyone will be a winner