-sponsored enterprises. We construct a model with competitive housing and mortgage markets in which the government provides banks with … of this government subsidy of owner-occupied housing. Preliminary findings indicate that the subsidy leads to higher … equilibrium housing investment, higher mortgage default rates, and lower welfare. The welfare effects of this policy vary …

-sponsored enterprises. We construct a model with competitive housing and mortgage markets in which the government provides banks with … of this government subsidy of owner-occupied housing. Preliminary findings indicate that the subsidy leads to higher … equilibrium housing investment, higher mortgage default rates, and lower welfare. The welfare effects of this policy vary …

heterogeneous, infinitely lived households and competitive housing and mortgage markets. Households have the option to default on … equilibrium mortgage origination and increases aggregate welfare, but has little effect on foreclosure rates and housing …

heterogeneous, infinitely lived households and competitive housing and mortgage markets. Households have the option to default on … equilibrium mortgage origination and increases aggregate welfare, but has little effect on foreclosure rates and housing …

-Sponsored Enterprises. We set up an economy with a housing and mortgage market where the government provides banks with insurance against …

heterogeneous, infinitely lived households and competitive housing and mortgage markets. Households have the option to default on … equilibrium mortgage origination and increases aggregate welfare, but has little effect on foreclosure rates and housing …

heterogeneous, infinitely lived households and competitive housing and mortgage markets. Households have the option to default on … equilibrium mortgage origination and increases aggregate welfare, but has little effect on foreclosure rates and housing …

-sponsored enterprises. We construct a model with competitive housing and mortgage markets in which the government provides banks with … of this government subsidy of owner-occupied housing. Preliminary findings indicate that the subsidy leads to higher … equilibrium housing investment, higher mortgage default rates, and lower welfare. The welfare effects of this policy vary …

of housing demand. Our model generalizes previous applied econometric work by incorporating realistic features of the … housing market including non-convex adjustment costs from buying and selling a home, credit constraints from minimum … for capturing salient features of housing demand observed in the PSID. After estimating the model we use it to simulate …