Commodity house prices
This paper studies how commodity price movements have affected the local house prices in commodity-dependent economies, Australia and New Zealand. We build a geographically hierarchical empirical model and find that the commodity prices influence local house prices directly and also indirectly through macroeconomic variables. The impacts of commodity price changes are analogous to “income shocks” rather than “cost shocks”. Regional heterogeneity is also observed in terms of differential dynamic responses of local house prices to energy versus non-energy commodity price movements. The results are robust to alternative approaches. Directions for future research are also discussed.
Year of publication: |
2013
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Authors: | Leung, Charles Ka Yui ; Shi, Song ; Tang, Ho ; Chi, Edward |
Published in: |
Regional Science and Urban Economics. - Elsevier, ISSN 0166-0462. - Vol. 43.2013, 6, p. 875-887
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Publisher: |
Elsevier |
Subject: | Regional economies | Energy versus non-energy commodity price | Propagation mechanism | Geographically hierarchical model | Dynamic analysis |
Saved in:
Online Resource
Type of publication: | Article |
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Classification: | F40 - Macroeconomic Aspects of International Trade and Finance. General ; G10 - General Financial Markets. General ; R30 - Real Estate Markets, Spatial Production Analysis, and Firm Location. General |
Source: |
Persistent link: https://www.econbiz.de/10011052376