Reference dependence, loss aversion and residential property development decisions

نویسندگان

چکیده

Abstract We analyse land transaction and residential development data from Beijing, China identify that developers’ evaluation of exhibits reference dependence loss aversion. Developers with prior losses set higher house prices than those without losses. This effect is strongest at the beginning towards end property sales period. It moderated by ownership structure listing status. Privately-owned firms experience stronger effects their state-owned counterparts, whereas unlisted are more strongly affected listed counterparts. Results have implications on relationship between housing markets in China. In a booming market where acquisition entails high price, developers will transfer excess price to prices, thereby increasing latter. The plays an integral role managing

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ژورنال

عنوان ژورنال: Journal of Housing and The Built Environment

سال: 2021

ISSN: ['1573-7772', '1566-4910']

DOI: https://doi.org/10.1007/s10901-020-09803-y