Ascheberg, Marius; Jarrow, Robert A.; Kraft, Holger; … - In: Real Estate Economics 42 (2014) 3, pp. 627-661
type="main" <p>We develop a micro-based macromodel for residential home prices in an economy where defaults on residential mortgages negatively affect housing prices. Our model enables us to study the impact of subprime defaults on prime borrowers and the impact of various government policies on...</p>