The price of energy and potential growth of developed countries: An attempt at quantification

A growth model based on a theoretical discussion of the impact of oil prices on developed countries is used to predict the impact of higher prices of energy on the growth of developed countries. The results suggest that the growth impact is small, that domestic price policies may have a large impact on oil imports, and that the investment of foreign assets accumulated by oil producers may make a significant contribution to the GNP of OECD.