The Effect of the COVID-19 Outbreak on the Turkish Diesel Consumption Volatility Dynamics
Hasan Murat Ertuğrul, B. Oray Güngör, Uğur Soytaş
Abstract
We analyze the effect of the COVID-19 outbreak on volatility dynamics of the Turkish diesel market. We observe that a high volatility pattern starts around mid-April, 2020 and reaches its peak on 24/05/2020. This is due to the government imposed weekend curfews and bans on intercity travels. Two policy suggestions are provided. First is a temporary rearrangement of profit margins of dealers and liquid fuel distributors; and, second is a temporary tax regulation to compensate lost tax revenue.
Topics & Concepts
TurkishVolatility (finance)Coronavirus disease 2019 (COVID-19)Diesel fuelTax revenueEconomicsMonetary economicsOutbreak2019-20 coronavirus outbreakRevenueBusinessEconometricsPublic economicsFinanceMedicineEngineeringAutomotive engineeringPhilosophyPathologyDiseaseVirologyInfectious disease (medical specialty)LinguisticsEnergy, Environment, and Transportation PoliciesMarket Dynamics and VolatilityEnergy, Environment, Economic Growth