Using a dynamic equilibrium model of housing tenure choice with fully specified markets for homeownership and rental properties, and endogenous house prices and rents, this paper studies the effect of fundamentals on equilibrium house prices and rents. Lower interest rates, relaxed lending standards, and higher incomes are shown to account for approximately one-half of the increase in the U.S. ...

This paper presents a comparative statics result on a rental housing market. The relationship between the qualities of apartments and their rents is investigated. Our comparative statics considers rent changes when an improvement occurs in a local area of the market. We show that rents go up locally in response to the improvement, but rents go down in the inner area of the city. To show the dis...

It is well-known that, in static models, minimum wages generate positive worker rents and, consequently, inefficiently low effort. We show that this result does not necessarily extend to a dynamic context. The reason is that, in repeated employment relationships, firms may exploit workers’ future rents to induce excessively high effort.

The focus of this study is rent in the diamond industry. Based on extensive datasets and a discussion all relevant costs, we present resource statistics from industry key producer countries emerging economies such as Angola, Botswana, Democratic Republic Congo, Lesotho, Namibia, Sierra Leone, South Africa, well Russian Federation. Resource rents give an indication available space for taxation. ...