Show Summary Details

Page of

Printed from Oxford Research Encyclopedias, Economics and Finance. Under the terms of the licence agreement, an individual user may print out a single article for personal use (for details see Privacy Policy and Legal Notice).

date: 05 December 2020

Macroeconomic Aspects of Housinglocked

  • Charles Ka Yui LeungCharles Ka Yui LeungDepartment of Economics and Finance, City University of Hong Kong
  •  and Cho Yiu Joe NgCho Yiu Joe NgDepartment of Economics and Finance, City University of Hong Kong

Summary

This article summarizes research on the macroeconomic aspects of the housing market. In terms of the macroeconomic stylized facts, this article demonstrates that with respect to business cycle frequency, there was a general decrease in the association between macroeconomic variables (MV), such as the real GDP and inflation rate, and housing market variables (HMV), such as the housing price and the vacancy rate, following the global financial crisis (GFC). However, there are macro-finance variables, such as different interest rate spreads, that exhibited a strong association with the HMV following the GFC. For the medium-term business cycle frequency, some but not all patterns prevail. These “new stylized facts” suggest that a reconsideration and refinement of existing “macro-housing” theories would be appropriate. This article also provides a review of the corresponding academic literature, which may enhance our understanding of the evolving macro-housing–finance linkage.

You do not currently have access to this article

Login

Please login to access the full content.

Subscribe

Access to the full content requires a subscription