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on Urban and Real Estate Economics |
| By: | Lorraine Dearden (Institute for Fiscal Studies, 7 Ridgmount Street, London, WC1E 7AE; Institute of Education, University of London, 20 Bedford Way, London WC1H 0AL, UK.); John Micklewright (Depatment of Quantitative Social Science - Institute of Education, University of London.); Anna Vignoles (Department of Quantitative Social Science, Institute of Education, University of London. 20 Bedford Way, London WC1H 0AL, UK.) |
| Abstract: | 'League table' information on school effectiveness in England generally relies on either a comparison of the average outcomes of pupils by school, e.g. mean exam scores, or on estimates of the average value added by each school. These approaches assume that the information parents and policy-makers need most to judge school effectiveness is the average achievement level or gain in a particular school. Yet schools can be differentially effective for children with differing levels of prior attainment. We present evidence on the extent of differential effectiveness in English secondary schools, and find that even the most conservative estimate suggests that around one quarter of schools in England are differentially effective for students of differing prior ability levels. This affects an even larger proportion of children as larger schools are more likely to be differentially effective. |
| Keywords: | school effectiveness, school choice, value added, England |
| JEL: | I2 |
| Date: | 2011–07–22 |
| URL: | http://d.repec.org/n?u=RePEc:qss:dqsswp:1106&r=ure |
| By: | Atila Abdulkadiroglu; Joshua D. Angrist; Parag A. Pathak |
| Abstract: | Talented students compete fiercely for seats at Boston and New York exam schools. These schools are characterized by high levels of peer achievement and a demanding curriculum tailored to each district's highest achievers. While exam school students clearly do very well in school, the question of whether an exam school education adds value relative to a regular public education remains open. We estimate the causal effect of exam school attendance using a regression-discontinuity design, reporting both parametric and non-parametric estimates. We also develop a procedure that addresses the potential for confounding in regression-discontinuity designs with multiple, closely-spaced admissions cutoffs. The outcomes studied here include scores on state standardized achievement tests, PSAT and SAT participation and scores, and AP scores. Our estimates show little effect of exam school offers on most students' achievement in most grades. We use two-stage least squares to convert reduced form estimates of the effects of exam school offers into estimates of peer and tracking effects, arguing that these appear to be unimportant in this context. On the other hand, a Boston exam school education seems to have a modest effect on high school English scores for minority applicants. A small group of 9th grade applicants also appears to do better on SAT Reasoning. These localized gains notwithstanding, the intense competition for exam school seats does not appear to be justified by improved learning for a broad set of students. |
| JEL: | I20 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:17264&r=ure |
| By: | Raven Molloy; Hui Shan |
| Abstract: | Despite the recent flood of foreclosures on residential mortgages, little is known about what happens to borrowers and their households after their mortgage has been foreclosed. We study the post-foreclosure experience of U.S. households using a unique dataset based on the credit reports of a large panel of individuals to from 1999 to 2010. Although foreclosure considerably raises the probability of moving, the majority of post-foreclosure migrants do not end up in substantially less desirable neighborhoods or more crowded living conditions. These results suggest that, on average, foreclosure does not impose an economic burden large enough to severely reduce housing consumption. |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedgfe:2011-32&r=ure |
| By: | Tara Béteille; Demetra Kalogrides; Susanna Loeb |
| Abstract: | More than one out of every five principals leaves their school each year. In some cases, these career changes are driven by the choices of district leadership. In other cases, principals initiate the move, often demonstrating preferences to work in schools with higher achieving students from more advantaged socioeconomic backgrounds. Principals often use schools with many poor or low-achieving students as stepping stones to what they view as more desirable assignments. We use longitudinal data from one large urban school district to study the relationship between principal turnover and school outcomes. We find that principal turnover is, on average, detrimental to school performance. Frequent turnover of school leadership results in lower teacher retention and lower student achievement gains. Leadership changes are particularly harmful for high poverty schools, low-achieving schools, and schools with many inexperienced teachers. These schools not only suffer from high rates of principal turnover but are also unable to attract experienced successors. The negative effect of leadership changes can be mitigated when vacancies are filled by individuals with prior experience leading other schools. However, the majority of new principals in high poverty and low-performing schools lack prior leadership experience and leave when more attractive positions become available in other schools. |
| JEL: | I21 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:17243&r=ure |
| By: | Alicia Rambaldi (School of Economics, The University of Queensland); Ryan McAllister; Kerry Collins; Cameron Fletcher |
| Abstract: | The study develops a spatio-temporal model of hedonic pricing that explicitly separates the land and the structure components of property prices. This is illustrated with a dataset for Brisbane, Australia, constructed by combining commercial real estate, local government databases and GIS-based spatial analyzes. The land component of prices has increased from 42% in 2000 to 66% in 2010. This has implications for a broad range of planning and policy issues, including property tax rates, town planning, and options for climate adaptations. |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:qld:uq2004:428&r=ure |
| By: | Clark, William A.V. (University of California, Los Angeles); van Ham, Maarten (Delft University of Technology); Coulter, Rory (University of St. Andrews) |
| Abstract: | The research reported in this paper examines the nature and extent of socio-spatial mobility in the United Kingdom. In contrast with previous studies, we do not only investigate who moves out of deprived neighbourhoods, but our models cover the entire spectrum of neighbourhoods and provide a more complete interpretation of the process of mobility across socio-spatial structures. We use the Index of Multiple Deprivation (IMD) to classify neighbourhoods defined as small areas containing approximately 1500 people. We use the data from all available waves of the British Household Panel Survey (BHPS) to trace moves between these neighbourhoods, classified into deprivation deciles. We define upward socio-spatial mobility as moving to neighbourhoods with lower levels of deprivation. The focus on residential choices and the outcomes – residential sorting – allows us to measure the fluidity of the British social structure. We show that restricted ability to compete for the better neighbourhoods combines with residence in neighbourhoods with relatively high degrees of deprivation to limit opportunities for social mobility. The analysis shows that education and income play critical roles in the ability of individuals to make neighbourhood and decile gains when they move. There are also powerful roles of being unemployed and being (and becoming) a social renter. Both these latter effects combine to seriously restrict the possibilities for socio-spatial movement for certain groups. The results suggest serious structural barriers to socio-spatial mobility in British society, barriers which are directly related to the organisation of the housing market. |
| Keywords: | residential sorting, residential mobility, socio-economic status, deprivation, neighbourhoods |
| JEL: | J61 R23 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp5861&r=ure |
| By: | Daniel Cooper; María José Luengo-Prado |
| Abstract: | This paper examines whether rising house prices immediately prior to children entering their college years impacts their intergenerational earnings mobility and/or educational outcomes. Higher house prices provide homeowners, especially liquidity constrained ones, with additional funding to invest in their children's human capital. The results show that a 1 percentage point increase in house prices, when children are 17-years-old, results in roughly 0.8 percent higher annual income for the children of homeowners, and 1.2 percent lower annual income for the children of renters. Additional analysis shows that the children who benefit the most from rising house prices are those whose parents are liquidity constrained homeowners. Rising house prices also make homeowners' children more likely to graduate from college and have less noncollateralized debt when young adults. Both of these results are consistent with rising house prices enabling parents to invest more in their children. |
| Keywords: | Housing - Prices ; College graduates |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedbwp:11-6&r=ure |
| By: | Stefan Groot; Henri de Groot |
| Abstract: | <p>Based on micro-data on individual workers for the period 2000–2005, we show that regional wage differentials in the Netherlands are small but present. </p><p>A large part of these differentials can be attributed to individual characteristics of workers. Remaining effects are partially explained by variations in employment density, with an elasticity of about 3.8 percent and by Marshall-Arrow-Romer externalities, where doubling the share of a (2-digit NACE) industry results in a 2.4 percent higher productivity.</p><p>We find evidence for a negative effect of competition (associated with Porter externalities) and diversity (associated with Jacobs externalities).</p> |
| JEL: | J24 O12 R11 R23 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:cpb:discus:184&r=ure |
| By: | Gijs Roelofs; Daniel van Vuuren |
| Abstract: | <p>In this paper, we assess spillover effects of Social Assistance (SA) decentralization in the Netherlands, in particular towards (a centrally administered) Disability Insurance scheme (DI). DI enrolment has increased strongly since the decentralization of SA. </p><p>Many economists and policymakers believe that fiscal decentralization, the decentralization of government expenditures to local governments, enhances public sector efficiency. Vertical externalities – i.e. spillovers between local and central government – may however undo part of this advantage. In this paper, we assess spillover effects of Social Assistance (SA) decentralization in the Netherlands, in particular towards (a centrally administered) Disability Insurance scheme (DI). DI enrolment strongly increased since the decentralization of SA. We find that the sensitivity of local DI enrolment with respect to the stock of local SA recipients has increased over time, given that we control for both observed and unobserved disability risk factors. IV estimates show that, since the decentralization of SA, at least one third of DI inflow was diverted from SA.</p> |
| JEL: | H40 H53 H70 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:cpb:discus:185&r=ure |
| By: | MORIKAWA Masayuki |
| Abstract: | Numerous studies have indicated that densely populated cities enhance the productivity of workers through knowledge spillover and superior matching with employers in the labor market. This paper quantitatively analyzes the relationship among urban density, human capital, and wages by using micro data from the <i>Basic Survey on Wage Structure</i> for the years from 1990 to 2009. According to the estimation of standard wage functions augmented with population density, the agglomeration premium is larger for workers with higher observable skills such as education, tenure, and potential experience, which suggests rapid learning and superior matching in densely populated cities. Under structural changes such as a declining population and the trend toward a knowledge-based service economy, forming densely populated areas by facilitating the migration of workers has desirable effects throughout Japan on both individual wages and firm productivity. |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:eti:dpaper:11060&r=ure |
| By: | Sergejs Gubins (VU University Amsterdam); Erik T. Verhoef (VU University Amsterdam) |
| Abstract: | We analyze the welfare effects of part-day teleworking on road traffic congestion in the context of Vickrey's dynamic bottleneck model. Endogenous decisions to become equipped with a teleworking-enabling technology change the scheduling of arrival times at work for equipped drivers and, due to congestion externalities, affects travel costs of all drivers. We show that even costless teleworking might be marginally welfare reducing, after reaching the optimal penetration level, as an equipped driver imposes a higher travel externality on other equipped drivers than unequipped drivers do. We study various possible market configurations for the supply of the technology, and find that private monopolistic supply of the technology might yield a higher social welfare than perfectly competitive supply. |
| Keywords: | traffic congestion; teleworking; bottleneck model |
| JEL: | D62 O33 R41 R48 |
| Date: | 2011–07–18 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:20110096&r=ure |
| By: | Marie-Laure Breuillé (INRA); Pascale Duran-Vigneron (University of Exeter); Anne-Laure Samson (Université Paris Dauphine) |
| Abstract: | The purpose of this paper is to analyze the effect of inter-municipal cooperation on local taxation. Municipalities that join/create an inter-municipal jurisdiction choose between three tax regimes, which may induce both horizontal and vertical tax externalities. Using the differences in differences method with a quasi-exhaustive panel for French municipalities over the 1994-2010 period, we show a positive causal effect of cooperation on the level of cumulative tax rates (i.e. the sum of municipal and inter-municipal tax rates). Moreover, we show that cooperation leads to a convergence of tax rates within an inter-municipal structure, which thus reduces tax disparities among municipalities. |
| Keywords: | Inter-municipal cooperation, tax competition, fiscal disparities |
| JEL: | H23 H7 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:ieb:wpaper:2011/7/doc2011-13&r=ure |
| By: | Gaëlle Ferrant (Centre d'Economie de la Sorbonne); Yannick Bourquin (Centre d'Economie de la Sorbonne) |
| Abstract: | This paper provides evidence that local social interactions within etnic groups may explain the puzzling variations in labour-market outcomes across individuals. Peer effects work first by creating pressure on labor-market participation, second, by conveying information about job opportunities and by raising wages. These effects differ through a selection effect : gender and ethnic groups who are less integrated in the labour market benefit more from peer effect. Finally, networks exhibit decreasing returns. The problems of endogeneity and simultaneity of local peer effects are addressed by using (i) data aggregated at the province level, (ii) the distribution of the sex of the peers' siblings as an instrumental variable and (iii) a quasi-panel data approach relying on the Hausman-Taylor estimator. The importance of social interactions in the labour market suggests that a social multiplier exists and our estimates show that any labour-market shock is magnified with an elasticity of 0.5. |
| Keywords: | Peer efects, development economics, labour, South Africa. |
| JEL: | J15 J16 O18 Z13 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:mse:cesdoc:11044&r=ure |
| By: | Christian Dreger; Konstantin A. Kholodilin |
| Abstract: | In this paper, we construct the country-specific chronologies of the house price bubbles for 12 OECD countries over the period 1969:Q1- 2010:Q2. These chronologies are obtained using a combination of a fundamental and a filter approaches. The resulting speculative bubble chronology is the one that provides the highest concordance between these two techniques. In addition, we suggest an early warning system based on three alternative approaches: signalling approach, logit and probit models. It is shown that the latter two models allow much more accurate predictions of the house price bubbles than the signalling approach. The prediction accuracy of the logit and probit models is high enough to make them useful in forecasting the future speculative bubbles in housing market. Thus, our method can be used by the policymakers in their attempts to timely detect the house price bubbles and attenuate their devastating effects on the domestic and world economy. |
| Keywords: | House prices, early warning system, OECD countries |
| JEL: | C25 C33 E32 E37 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:diw:diwwpp:dp1142&r=ure |
| By: | Gibson, John (University of Waikato); Kim, Bonggeun (Seoul National University); Stillman, Steven (University of Otago); Boe-Gibson, Geua (University of Waikato) |
| Abstract: | Despite the centrality of voting costs to the paradox of voting, little effort has been made to accurately measure these costs outside of a few spatially limited case studies. In this paper, we apply Geographic Information Systems (GIS) tools to validated national election survey data from New Zealand. We calculate distance and travel time by road from the place of residence to the nearest polling place and combine our time estimate with imputed wages for all sample members. Using this new measure of the opportunity cost of voting to predict turnout at the individual level, we find that small increases in the opportunity costs of time can have large effects in reducing voter turnout. |
| Keywords: | paradox of voting, opportunity cost, travel time |
| JEL: | D7 R4 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp5854&r=ure |
| By: | Catherine Tucker |
| Abstract: | This paper investigates how the destabilizing of a social network may increase the scope of network externalities, using data on sales of a video-calling system made to an investment bank's employees and subsequent usage by these customers. The terrorist attacks of 2001 led potential customers in New York to start communicating with a new and less predictable set of people when their work teams were reorganized as a result of the physical displacement that resulted from the attacks. This did not happen in other comparable cities. These destabilized communication patterns were associated with potential adopters in New York being more likely to take into account a wider spectrum of the user base when deciding whether to adopt relative to those in other cities. Empirical analysis suggests that the aggregate effect of network externalities on adoption was doubled by this instability. |
| JEL: | L0 L86 L96 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:17246&r=ure |
| By: | Ngeleza, Guyslain |
| Abstract: | This paper tests a series of prominent hypotheses regarding how institutions, geography, and trade interact to influence income per capita using a novel spatial econometric approach to control for both spillovers among neighboring countries and spatially correlated omitted variables. Simultaneous equations are used to identify alternative channels through which country characteristics might affect income through trade and institutions, and then to test the robustness of those effects. Evidence indicated that both institutions and trade influence growth. Geographical factors such as whether a country is landlocked and its distance to the equator influence income, but only through trade. Data covering 95 countries across the world from 1960 through 2002 was used to construct a pooled dataset of 5-year averages (9 in all) centered on 1960, 1965, and so on through 2000. Both limited and full information estimators, partly based on a generalized moments (GM) estimator for spatial autoregressive coefficients, were used. These allow for spatial error correlation, correlation across equations, and the presence of spatially lagged dependent variables. |
| Keywords: | economic growth, Geography, Institutions, simultaneous equations, spatial econometrics, trade, |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:fpr:ifprid:1082&r=ure |
| By: | Roberto Bande (University of Santiago and IDEGA); Marika Karanassou (Queen Mary, University of London and IZA) |
| Abstract: | On both theoretical and empirical grounds, this paper provides evidence that refutes the natural rate of unemployment (NRU) hypothesis as an explanation of the evolution of regional disparities in the unemployment rate. We first present our analytical framework, which follows the chain reaction theory (CRT) of unemployment and argues that (i) a system of interactive labour market equations, rather than a single-equation unemployment rate model, is better equipped to accommodate unemployment dynamics, and (ii) due to the interplay of frictions and growth in labour markets, the NRU ceases to be an attractor of the unemployment rate time path. We then provide evidence that the Spanish economy is characterised by large and persistent disparities in the regional unemployment rates. Through standard kernel density tecnhiques, we demonstrate the existence of marked differences between two groups of high and low unemployment regions that remain stable in their composition through time. Finally, we review our empirical labour market model for each group of regions and evaluate the corresponding natural rates. Our findings confirm that the evolution of regional disparities cannot be attributed to disparities in the natural rates, given that these, although different, do not act as an attractor of unemployment. Thus, the NRUs offer little help in the formulation of labour market policies. |
| Keywords: | Regional unemployment, Disparities, Kernel, Natural rate, Frictional growth |
| JEL: | R23 J64 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:qmw:qmwecw:wp681&r=ure |
| By: | Matthew J Osborne; Nathan H. Miller (Bureau of Economic Analysis) |
| Abstract: | We develop an estimator for models of competition among spatially differentiated firms. In contrast to existing methods (e.g., Houde (2009)), the estimator has flexible data requirements and is implementable with data that are observed at any level of aggregation. Further, the estimator is the first to be applicable to models in which firms price discriminate among consumers based on location. We apply the estimator to the portland cement industry in the U.S. Southwest over 1983-2003. We estimate transportation costs to be $0.30 per tonne-mile and show that, given the topology of the U.S. Southwest, these transportation costs permit more geographically isolated plants to discriminate among consumers. We conduct a counterfactual experiment and determine that disallowing this spatial price discrimination would increase consumer surplus by $12 million annually, relative to a volume of commerce of $1.3 billion. Heretofore it has not been possible examine the surplus implications of spatial price discrimination in specific, real-world settings; these implications have been known to be ambiguous theoretically since at least Gronberg and Meyer (1982) and Katz (1984). Additionally, our methodology can be used to construct transportation margins, which are an important component of input-output tables. |
| JEL: | E60 C51 L11 L40 L61 |
| Date: | 2011–04 |
| URL: | http://d.repec.org/n?u=RePEc:bea:wpaper:0072&r=ure |
| By: | Alper Kara (Hull University Business School, United Kingdom.); David Marqués-Ibáñez (European Central Bank, Financial Research Division, Kaiserstrasse 29, D-60311 Frankfurt am Main, Germany.); Steven Ongena (Tilburg University, Department of Finance, Faculty of Economics and Business Administration, Netherlands.) |
| Abstract: | We investigate the effect of securitization activity on banks’ lending standards using evidence from pricing behavior on the syndicated loan market. We find that banks more active at originating asset-backed securities are also more aggressive on their loan pricing practices. This suggests that securitization activity lead to laxer credit standards. Macroeconomic factors also play a large role explaining the impact of securitization activity on bank lending standards: banks more active in the securitization markets loosened more aggressively their lending standards in the run up to the recent financial crisis but also tightened more strongly during the crisis period. As a continuum of this paper we are examining whether individual loans that are eventually securitized are priced more aggressively by using unique European data on individual loans from all major trustees. JEL Classification: G21, G28. |
| Keywords: | securitization, bank risk taking, syndicated loans, financial crisis. |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:ecb:ecbwps:20111362&r=ure |
| By: | Kusch, Thomas; Prause, Gunnar; Hunke, Kristina |
| Abstract: | -- |
| JEL: | F23 R12 R41 R58 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:hswwdp:132011&r=ure |
| By: | Friebel, Guido; Ivaldi, Marc; Pouyet, Jérôme |
| Abstract: | This paper investigates various options for the organization of the railway industry when network operators require the access to multiple national networks to provide international (freight or passenger) transport services. The EU rail system provides a framework for our analysis. Returns-to-scale and the intensity of competition are key to understanding the impact of vertical integration or separation between infrastructure and operation services within each country in the presence of international transport services. We also consider an option in which a transnational infrastructure manager is in charge of offering a coordinated access to the national networks. In our model, it turns out to be an optimal industry structure. |
| Keywords: | Network access; Transport economics; Vertical Separation |
| JEL: | L14 L42 L51 L92 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:8491&r=ure |
| By: | Philip McCann (University of Groningen); Raquel Ortega-Argilés (Instituto Superior Técnico) |
| Abstract: | This paper examines the arguments underpinning the smart specialisation concept, an idea which originally emerged from the sectoral growth literature, and one which has recently been applied with to the regional policy context. The shift from a sectoral to a regional context appears prima facie to be quite straightforward but this paper explains that translating the idea to a regional policy context is rather more complex that it at first appears and implies some changes in both interpretation and implications. The outcomes of this are that in a regional policy setting the smart specialisation logic is seen to be broadly consistent with the overall reforms of EU Cohesion Policy. However, in a regional policy setting there is no reason why ICTs should be prioritised over many forms of intangible capital, and the promotion of technological diversification via entrepreneurship may need to be related to specific sectors or activities. |
| Keywords: | Smart, specialisation, EU, cohesion policy, innovation, sector, place-based |
| JEL: | O31 O33 R11 R58 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:ieb:wpaper:2011/7/doc2011-14&r=ure |
| By: | Lumiste, Rünno; Prause, Gunnar |
| Abstract: | -- |
| JEL: | F23 R12 R41 R58 |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:hswwdp:102011&r=ure |
| By: | Jie (Jack) He; Jun 'QJ' Qian; Philip E. Strahan |
| Abstract: | We examine whether rating agencies (Moody’s, S&P, and Fitch) reward large issuers of mortgage-backed securities, who bring substantial business, by granting them unduly favorable ratings. The initial yield on both AAA-rated and non-AAA rated tranches sold by large issuers is higher than that on similar tranches sold by small issuers during the market boom years of 2004-2006. Moreover, the prices of MBS sold by large issuers drop more than those sold by small issuers, and the differences are concentrated among tranches issued during 2004-2006. We conclude that large issuers receive more favorable ratings and that the market prices the risk of inflated ratings, especially during booming periods. |
| JEL: | G2 |
| Date: | 2011–07 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:17238&r=ure |
| By: | Zheng Liu; Pengfei Wang; Tao Zha |
| Abstract: | We argue that positive comovements between land prices and business investment are a driving force behind the broad impact of land-price dynamics on the macroeconomy. We develop an economic mechanism that captures the comovements by incorporating two key features into a DSGE model: we introduce land as a collateral asset in firms' credit constraints, and we identify a shock that drives most of the observed fluctuations in land prices. Our estimates imply that these two features combine to generate an empirically important mechanism that amplifies and propagates macroeconomic fluctuations through the joint dynamics of land prices and business investment. |
| Date: | 2011 |
| URL: | http://d.repec.org/n?u=RePEc:fip:fedawp:2011-11&r=ure |
| By: | Tatom, John |
| Abstract: | The United States economy has suffered over the past four years from crises in mortgage foreclosures and in financial markets, as well as a long recession that some have referred to as the Great Recession. The links between these events, or more broadly the causes, extent and effects of these developments, are sources of continuing controversy and uncertainty. This paper attempts to disentangle the links between the mortgage foreclosure crisis, the financial crisis, a possible banking crisis and the Great Recession, at least in terms of timing, and also to provide an alternative view to the conventional wisdom, especially for the link of crises to the recession. |
| Keywords: | Foreclosure crisis; banking crisis; financial crisis; recession |
| JEL: | E32 E44 |
| Date: | 2010–10 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:31914&r=ure |