In addition to providing utility, and possibly capital gains, housing facilitates credit transactions when home equity serves as collateral. We document big increases in home-equity loans coinciding with the US house-price boom, and suggest a connection. When it is used as collateral, housing bears a liquidity premium. Since liquidity is endogenous, and depends to some extent on beleifs, even w...

 County-level housing net worth shock: We cannot make the exact county-level housing net worth shock used in our analysis publicly available given restrictions in our agreements with Equifax and CoreLogic. However, we can make a CBSA-level data set available that replaces Equifax debt with county-level debt from the Federal Reserve Bank of New York, and replaces CoreLogic house price growth fr...

This study compared the structure and level of Chinese teachers' compensation in public or non-profit-making early childhood settings in Hong Kong, Shenzhen, Singapore, and Taipei. Document analysis method was employed to compare the compensation structure, and two indicators were used to compare the pay level: (1) the Economist's Big Mac Index and (2) the house price-to-income ratio. The resul...

This paper uses wealth changes driven by housing market variation to estimate the effect of family resources on fertility decisions. Using data from the Panel Study of Income Dynamics, we show that a $100,000 increase in housing wealth among homeowners causes a 16-18 percent increase in the probability of having a child. There is no evidence of an effect of MSA-level housing price growth on the...

1 Tlie authoxs thank paitidpants at a seminar in Konstanz fox theii comments. Reraain-ing eirors are ours. The Cential Bureau of Statistics ptovided the data. Abstract We examine the effect of a rent subsidy program, Rent Assistance, on the demand for rental housing in The Netherlands. Low-income households with a rent that exceeds a norm rent, but is smaller than a maximum rent are eligible fo...

In recent years, many local governments have struggled to address the burdens that uncontrolled residential development imposes on municipal infrastructure and other public facilities. Some local jurisdictions have implemented growth management programs and innovative infrastructure financing methods to coordinate new residential growth with the timely provision of essential public facilities. ...

Fluctuations in housing prices are relevant to wealth accumulation, labor mobility, consumption, macroeconomic volatility, and financial market stability. However, it is ex ante difficult to know when housing price movements are due to fundamentals, such as changes in the user cost of capital, versus irrational exuberance. I propose combining the canonical urban economics Alonso-Muth-Mills mode...

We provide explicit solutions to life-cycle utility maximization problems involving dynamic decisions on investments in stocks and bonds, consumption of perishable goods, and the rental and the ownership of residential real estate. House prices, stock prices, interest rates, and the labor income of the decision-maker follow correlated stochastic processes. The explicit consumption and investmen...

Standard optimzing models of consumption postulate that consumption is a function of wealth and implicitly assume that wealth is comprised of assets whose market price coincides with the fundamental price, defined as the expected present value of future dividends. We use a simple theoretical framework to show that when the market price deviates from the fundamental price, consumption behavior w...