Purpose – The purpose of this paper is to examine housing speculation in Auckland, New Zealand, the second most unaffordable market in the world.Design/methodology/approach – The study considers rental property purchases from 2002 to 2016within the Auckland region. The authors apply a simple...

The paper examines three aspects of a financial crisis of domestic origin. The first section studies the evolution of a debt-financed consumption boom supported by rising asset prices, leading to a credit crunch and fluctuations in the real economy, and, ultimately, to debt deflation. The next...