house prices, rents, construction, labor income, wealth, and ultimately welfare. We develop an equilibrium model, calibrated … to generate substantial heterogeneity in income, wealth, and tenure status among residents is crucial for accurately …

We explore long-term patterns of the house price-income relationship across the 70 largest U.S. metropolitan areas. In … line with a standard spatial equilibrium model, our empirical findings indicate that house price-income ratios are … income and allow for regional heterogeneity yield stationary long-term relationships in most areas. The relationship between …