Housing Wealth Effects

Evidence from an Australian Panel

Datos Bibliográficos

ID9727305
AutoresCallan Windsor (0000-0003-1078-2408, Reserve Bank of Australia), Jarkko P Jääskelä (Reserve Bank of Australia), Jarkko Jääskelä (Reserve Bank of Australia), Richard Finlay (0000-0003-0914-1910, Reserve Bank of Australia and University of New South Wales)
Año2015
Volumen82
Número327
Páginas552-577
Fecha de publicación2015-07-01
Peer ReviewedSí
Open AccessSí
TipoARTICLE
RevistaEconomica (JOURNAL)
Identificadores de la revistaISSN: 0013-0427 • E-ISSN: 1468-0335
EditorialWiley (PUBLISHER • GB)
DOI10.1111/ecca.12137
OpenAlexW2108768610
IdiomaEN
Citas recibidas2
Referencias citadas18

We explore the positive relationship between house prices and household spending by following a panel of Australian households. No evidence for ‘traditional housing wealth effects' is found, with young homeowners exhibiting the largest wealth effects. Young renters also exhibit a positive consumption response to house prices, although less so than young homeowners. This suggests that increasing house prices raise spending via easing credit constraints and a common association between house prices and a third factor. Results from a cohort‐level panel are similar to those using household‐level data, suggesting that ‘pseudo‐panels' may be used as a partial substitute for actual panels

Cohort · Cohort effect · Consumer spending · Consumption (sociology) · Demographic economics · Econometrics · Economics · House price · Labour economics · Macroeconomics · Monetary economics · Monetary policy · Panel data · Wealth effect · Financial Literacy, Pension, Retirement Analysis · Housing Market and Economics · Housing, Finance, and Neoliberalism · Medicine