@article{Trang_Tho_Hong_2017, title={The Impact of Oil Price on the Growth, Inflation, Unemployment and Budget Deficit of Vietnam}, volume={7}, url={https://econjournals.com/index.php/ijeep/article/view/4521}, abstractNote={<p>In oil exporting countries, especially OPEC members, oil price fluctuation has significant impacts on their economies. Herein, just a drop in the oil price causes directly many adverse effects, such as inflation, falls in economic growth, and increases in unemployment. However with a country which not only exports crude oil but also imports petroleum as Vietnam, it is not easy to determine falling or a rising oil prices is beneficial to the economy. Therefore, this paper aims to carry out a numerical analysis on the influences of oil prices on the macroeconomic variables of Vietnam, including inflation, growth rate, budget deficit and unemployment, during a period from 2000 to 2015. By using a vector auto regression (VAR) model, it is realized that a rise in oil prices would lead to higher inflation and budget deficit in Vietnam while its impacts on the GDP growth and unemployment are unclear.</p><p><strong>Keywords:</strong> oil price, Vietnam, impulse response, variance decomposition</p><p><strong>JEL Classifications: </strong>E31, O47, Q4<strong></strong></p>}, number={3}, journal={International Journal of Energy Economics and Policy}, author={Trang, Nguyen Thi Ngoc and Tho, Tran Ngoc and Hong, Dinh Thi Thu}, year={2017}, month={Jul.}, pages={42–49} }