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In geographically segmented credit markets, local real estate booms can deteriorate the funding conditions for small manufacturing firms and undermine their competitiveness. Using exogenous variation in the administrative land supply across 172 Chinese cities, we show that higher predicted real...
Persistent link: https://www.econbiz.de/10012120233
In geographically segmented credit markets, local real estate booms can deteriorate the funding conditions for small manufacturing firms and undermine their growth and competitiveness. Based on exogenous variations in the administrative land supply across 202 Chinese cities, we show that real...
Persistent link: https://www.econbiz.de/10011899931
In this paper I study how debt and housing affect the trend of a closed economy. I build and estimate a DSGE model with endogenous growth and with heterogeneous agents, savers and borrowers. I find that in response to an increase in the nominal collateral value, savers decrease their investments...
Persistent link: https://www.econbiz.de/10013012596
Persistent link: https://www.econbiz.de/10003707173
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credit policy indicator, on the real estate price growth dynamics in China. Empirical results consistently demonstrate that … forces behind the change of real estate price growth in China. We also show that hot money flow does not have significant …
Persistent link: https://www.econbiz.de/10013120810
Motivated by growing concerns about the risks and instability of China's financial system, this article reviews several … commonly perceived financial risks and discusses their roots in China's politico-economic institutions. We emphasize the need … to evaluate these risks within China's unique economic and financial systems, in which the state and non-state sectors …
Persistent link: https://www.econbiz.de/10012900225
Motivated by growing concerns about the risks and instability of China's financial system, this article reviews several … commonly perceived financial risks and discusses their roots in China's politico-economic institutions. We emphasize the need … to evaluate these risks within China's unique economic and financial systems, in which the state and nonstate sectors …
Persistent link: https://www.econbiz.de/10012908346
housing prices is associated with larger declines in recent past growth of China's GDP, larger increases in China's savings … rate, or stronger rise in China's risks. These results are consistent with the notion of Chinese investing in overseas … quality, and that exhibit lower correlations between local property market price growth and China's interest rate …
Persistent link: https://www.econbiz.de/10012920626