scholarly journals Housing bubbles and land planning corruption: evidence from Spain’s largest municipalities

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Antonios Marios Koumpias ◽  
Jorge Martínez-Vázquez ◽  
Eduardo Sanz-Arcega
Keyword(s):  
Electoral Competition ◽  
Housing Prices ◽  
Mortgage Market ◽  
Rapid Expansion ◽  
Policy Implications ◽  
Housing Bubble ◽  
Land Planning ◽  
Content Type ◽  
Savings Banks ◽  
Savings Bank

Purpose The purpose of this paper is to quantify to what extent the housing bubble in the early-to-mid 2000s in Spain exacerbated land planning corruption among Spain’s largest municipalities. Design/methodology/approach The authors exploit plausibly exogenous variation in housing prices induced by changes in local mortgage market conditions; namely, the rapid expansion of savings banks (Cajas de Ahorros). Accounting for electoral competition in the 2003–2007 and 2007–2009 electoral cycles among Spanish municipalities larger than 25,000 inhabitants, the authors estimate a positive relationship between housing prices and land planning corruption in municipalities with variation in savings bank establishments using instrumental variables techniques. Findings A 1% increase in housing prices leads to a 3.9% points increase in the probability of land planning corruption. Moreover, absolute majority governments (not needing other parties’ support) are more susceptible to the incidence of corruption than non-majority ones. Two policy implications to address corruption emerge: enhance electoral competition and increase scrutiny over land planning decisions in sparsely populated. Originality/value First empirical evidence of a formal link between the 2000s housing bubble in Spain and land planning corruption.

Factors affecting housing prices in Izmir, Turkey: a quantile regression approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Onur Özsoy ◽  
Hasan Şahin
Keyword(s):  
Quantile Regression ◽  
House Prices ◽  
Housing Prices ◽  
Least Square ◽  
Policy Implications ◽  
Content Type ◽  
Factors Affecting ◽  
Ordinary Least Square ◽  
Major Factors ◽  
Quantile Regression Method

Purpose The purpose of this paper is to investigate empirically the main factors that affect the house prices in Izmir, Turkey using the quantile regression and ordinary least square approaches. Design/methodology/approach Sample data about the housing market for Izmir collected from the web pages of various real estate agencies during June 2018. Following this, the quantile regression method is used to estimate all possible effects of variables on each interested quantile to determine the factors that affect house prices to guide the potential consumers, house developers, city planners and the policymakers in Izmir, Turkey. Findings Results show that the age of the house, central heating and parking have no significant effect on prices. The size of the house, the existence of an elevator, fire and security have a positive and significant effect on prices. The number of rooms has lower values for high-priced houses, while the floor, the number of balconies, air conditioning, proximity to schools have a higher value for high-priced houses. The number of toilets, the number of bathrooms and the distance to the hospital have a lower value on the high-priced housing. The value of the distance from the city center and the shopping center is almost uniform in all quantiles and lowers the value of the higher-priced houses. With the exception of the value of the houses in the 10th percentile in Balcova district, the value of the houses in Konak, Balcova and Narlidere is lower prices in Karsiyaka. Originality/value This is the first comprehensive research to determine the major factors that affect house prices in Izmir. The second contribution of this paper is that it includes all possible variables and accordingly derives adequate policy implications, which could be used both by the public housing authority and private housing constructing companies in designing and implementing effective housing policies.

scholarly journals Residential property market in Malaysia: an analysis of price drivers and co-movements

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hassanudin Mohd Thas Thaker ◽  
Mohamed Ariff ◽  
Niviethan Rao Subramaniam
Keyword(s):  
Housing Prices ◽  
Housing Price ◽  
Government Support ◽  
Policy Implications ◽  
Kuala Lumpur ◽  
Content Type ◽  
Time Frequency ◽  
Long Run ◽  
Residential Properties ◽  
Practical Implications

PurposeThe purpose of this paper is to identify the drivers of residential price as well as the degree co-movement of housing among different states in Malaysia.Design/methodology/approachThis study adopted an advanced econometrics technique: the dynamic autoregressive-distributed lag (DARDL) and – the time-frequency domain approach known as the wavelet coherence test. The DARDL model was applied to identify the cointegrating relationships and the CWT was used to analyze the co-movement and lead–lag relationships among four states’ regional housing prices. The extracted data were mainly on annual basis and comprised macroeconomics and financial factors. Information with regard to residential prices and other variables was extracted from the National Property Information Centre (NAPIC) website, the Central Bank of Malaysia Statistics Report, the Department of Statistics, Malaysia, I-Property.com and the World Bank (WB). The data covered in this study were the pool data from four main states in Malaysia and different categories of residential properties.FindingsThe empirical results indicate that there were long-run cointegration relationships between the housing price and capital gain and loss, rental per square feet, disposable income, inflation, number of marriages, deposit rate, risk premium and loan-to-value (LTV) ratio. While the wavelet analysis shows that (1) in the long run, Kuala Lumpur housing price having strong co-movement with Selangor, Penang and Melaka housing prices except for Johor and (2) the lead–lag relationship also postulates Kuala Lumpur housing price having in-phase category with Selangor, Penang and Melaka housing prices except for Johor.Practical implicationsThis study offers relevant practical implications. First, the study proposes an active collaboration between the private sector and government support which may help to smooth the pricing issue of residential properties. More low-cost residential projects are needed for focus groups including middle- and low-income earners. Furthermore, the results are expected to provide real estate investor in Malaysia, an improved understanding of the regional housing market price dynamics.Originality/valueThe findings of this study were obtained from various reliable sources; therefore, the results reflected the analysis of price drivers and co-movements. Furthermore, findings from this study lend some support to the argument on the rise of residential prices and offer several policy implications from a practical point of view with regard to the residential market.

The establishment of savings banks in colonial New Zealand 1840-1907

2016 ◽  
Vol 22 (4) ◽  
pp. 371-388 ◽  
Author(s):  
Andrew Cardow ◽  
William Robert Wilson
Keyword(s):  
New Zealand ◽  
Alternative Source ◽  
Content Type ◽  
Working Classes ◽  
Savings Banks ◽  
Savings Bank ◽  
Private Savings ◽  
The Government ◽  
Balance Set ◽  
The Uk

Purpose This paper aims to highlight the reasons for the establishment of savings banks in New Zealand, with a primary thesis being that savings banks in New Zealand were intended to operate in a similar way to those in the UK. That is, to provide banking services to the working classes and supply revenue to a cash-strapped government. Savings banks were reasonably successful in meeting the needs of their depositors but provided little revenue to the government. This gives rise to a secondary thesis that, when the Government was presented with the opportunity to establish the Post Office Savings Bank (POSB), they did so with revenue in mind. Design/methodology/approach Contemporaneous scholarly discussion along with newspaper, primary sourced bank and government archives builds an interpretation of why savings banks were established in New Zealand. This interpretation is presented in the form of a narrative, which tells the story of the rise of private savings banks in New Zealand and their eventual stagnation when the POSB was introduced. Findings Savings banks in New Zealand were initiated by Governor Grey primarily to provide an alternative source of development funding. New Zealand savings banks, initially modelled on UK and New South Wales variants, also appear to have been designed to meet the needs of the working classes, with deposits limited to £50 a year and a maximum balance set of £100 in total. However, as the requirement to invest in Government debt was removed from their founding legislation, they mainly provided mortgages to their local communities. To some extent, this situation was remedied in 1867 when the POSB was established, as it was required to invest as directed by the Government. Originality/value The narrative highlights the importance of savings banks and the POSB to both the people and government of New Zealand. This research adds to the discussion surrounding the purpose of savings banks and details the contributions made by both savings banks and the POSB in colonial New Zealand. As previous publications were in the main commissioned by various savings banks, this work provides an independent academic analysis of the first savings banks in colonial New Zealand in the period from the signing of the Treaty of Waitangi in 1840 until New Zealand became a dominion in 1907.

Customer responses to the CSR of banking companies

2015 ◽  
Vol 24 (5) ◽  
pp. 481-493 ◽  
Author(s):  
Andrea Pérez ◽  
Ignacio Rodríguez del Bosque
Keyword(s):  
Conceptual Model ◽  
Commercial Banks ◽  
Structural Equation ◽  
Banking Industry ◽  
Equation Model ◽  
Content Type ◽  
Behavioural Responses ◽  
Savings Banks ◽  
Savings Bank ◽  
The One

Purpose – The purpose of this paper is to apply a thoroughly tested model to the study of how corporate social responsibility (CSR) perceptions impact customers’ affective and behavioural responses in the banking industry. As a contribution to the previous literature, the moderating role of the type of company (savings banks vs. commercial banks) in the conceptual model is explored. Design/methodology/approach – A structural equation model is tested with information collected from 648 customers of savings banks and 476 customers of commercial banks. Findings – The findings demonstrate that CSR perceptions positively impact customer identification with the banking company, emotions, satisfaction, recommendation and repurchase behaviours in both samples. However, CSR is perceived differently by customers depending on the type of banking company that implements it. Thus, its effects on customers’ affective and behavioural responses are different. Practical implications – Practitioners should not try to promote the best CSR approach for a standardised organisation, regardless of its special industry characteristics. They should be aware of the differences customers perceive in companies to adapt their CSR initiatives to the expectations of their targets. Originality/value – The contributions of the paper are two-fold. On the one hand, the banking industry has been scarcely explored by previous scholars. On the other hand, the authors explain the role that the type of banking company plays in the conceptual model proposed in the paper because significant differences are observed among savings bank customers and commercial bank customers concerning their affective and behavioural responses to CSR perceptions.

Determinants of house price volatility in Namibia

2019 ◽  
Vol 12 (4) ◽  
pp. 807-823 ◽  
Author(s):  
Teresia Kaulihowa ◽  
Katrina Kamati
Keyword(s):  
House Prices ◽  
Housing Prices ◽  
House Price ◽  
Price Volatility ◽  
Policy Implications ◽  
Mortgage Loans ◽  
Causal Relations ◽  
Content Type ◽  
House Price Volatility ◽  
Macroeconomic Determinants

Purpose This paper aims to test the volatility and analyses the macroeconomic determinants of house price volatility in Namibia over the period 2007 Quarter 1 to 2017 Quarter 2. It further explores the causal relations between house price volatility and its determinants. Design/methodology/approach The study used autoregressive conditional heteroskedastic and generalized autoregressive conditional heteroskedastic models to test for volatility. The vector error correction model was used to analyse the determinants and causal relations. Findings The results support the hypothesis that house prices in Namibia exhibits persistent volatility. It was further established that past period volatility’ GDP and mortgage loans are the key determinants of house price volatility. Additionally’ there exists unidirectional causality from GDP and mortgage loans to house price volatility. Practical implications Policy implications emanating from the study implies that macroeconomic fundamentals should be monitored closely to mitigate the issues of house price volatility. Originality/value The study is the first of its kind in Namibia to address the pertinent issues of ever increasing housing prices.

scholarly journals The interaction between housing prices and housing credit: evidence from a country with rapid credit accumulation

2020 ◽  
Vol 48 (1) ◽  
pp. 191-209
Author(s):  
Juan Carlos Cuestas ◽  
Merike Kukk
Keyword(s):  
Design Methodology ◽  
House Prices ◽  
Housing Prices ◽  
Central Banks ◽  
Policy Implications ◽  
Real Economy ◽  
Content Type ◽  
Debt Accumulation ◽  
Econometric Methods ◽  
Hard Times

PurposeThis paper aims to investigate the mutual dependence between housing prices and housing credit in Estonia, a country that experienced rapid debt accumulation during the 2000s and big swings in house prices during that period.Design/methodology/approachThe authors use Bayesian econometric methods on data spanning 2000–2015.FindingsThe estimations show the interdependence between house prices and housing credit. More importantly, negative housing credit innovations had a stronger effect on house prices than positive ones.Originality/valueThe asymmetry in the linkage between housing credit and house prices highlights important policy implications, in that if central banks increase capital buffers during good times, they can release credit conditions during hard times to alleviate the negative spillover into house prices and the real economy.

Analysis of the effects of (de)regulation on housing prices in Spain 1977–2019

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Virginia De Jorge-Huertas ◽  
Justo De Jorge-Moreno
Keyword(s):  
Causal Relationship ◽  
Housing Prices ◽  
Interrupted Time Series ◽  
Point Of View ◽  
Policy Implications ◽  
Social Implications ◽  
Interrupted Time Series Analysis ◽  
Content Type ◽  
Positive Effects ◽  
Price Series

PurposeThis paper analyzes the regulatory effects on homeownership and rental prices in Spain in the years between 1977m1 and 2019m5, taking into account the economic crisis. It also studies the causal relationship of the prices of private housing (owned and rented).Design/methodology/approachInterrupted time series analysis has been used to analyze the legislative impact on the construction sector. Also, the Box–Cox transformation has been used to carry out the above analysis. Finally, Granger's test has made possible to determine the causal relationship between the price series.FindingsThe results obtained in this work show the partial positive effects of legislative instrumentalization, which in general result in decreasing trends of prices in both types of housing use. Likewise, the causal relationship between the prices of owned and rented housing shows that the latter do not provide any incentive with respect to the former.Social implicationsThe social implications in this work could be important since this paper analyzes the effects of (de)regulation on housing prices in Spain, and the policy implications could help to control the speculation in housing.Originality/valueThe results obtained in this work could be relevant, both from the point of view of future housing policies and of the agents involved and that of society in general. In addition, this work could contribute to fill the existing gap in this field in Spain, given the scarce literature that raises the objective, using quantitative methodologies.

Experience, political connections and efficiency in the financial sector

2015 ◽  
Vol 28 (3) ◽  
pp. 380-395 ◽  
Author(s):  
Emma García-Meca ◽  
Jose Antonio García García
Keyword(s):  
Design Methodology ◽  
Political Connections ◽  
Lower Efficiency ◽  
Content Type ◽  
Legal Reforms ◽  
Section Data ◽  
Savings Banks ◽  
Savings Bank ◽  
Governance Practices ◽  
Financial Interests

Purpose The purpose of this paper is to analyze the influence of political presence on profitability in Spanish savings banks. Together with political connections, the paper analyzes the effects of chairmen’s banking experience on the efficiency of the savings banks. Design/methodology/approach Information was collected from all the savings banks in the sample for the period 2002-2009. The database used combines time series with cross-section data to give a panel of data to be estimated with this methodology. Findings After differentiating between municipal and regional participation, the results show that regional participation causes lower efficiency in a savings bank. There is no evidence that the financial experience of the chairman is an aspect that improves savings banks’ profitability. Originality/value The analyses undertaken in this paper help to detect whether certain corporate governance practices affect stakeholders' interests and the economy as a whole, through their effects on economic and financial interests, like the efficiency of savings banks. The paper lends support to the recent legal reforms aimed at reducing political presence on the boards of savings banks.

scholarly journals SME credit constraints and access to informal credit markets in Vietnam

2020 ◽  
Vol 47 (6) ◽  
pp. 787-807 ◽  
Author(s):  
Lan Archer ◽  
Parmendra Sharma ◽  
Jen-Je Su
Keyword(s):  
Peer Review ◽  
Credit Markets ◽  
Credit Constraints ◽  
Policy Implications ◽  
Informal Credit ◽  
Banking Services ◽  
Content Type ◽  
Credit Access ◽  
Access Policy ◽  
Correlated Random Effects

PurposeA review of literature has documented that accessing formal credit and other banking services has always been a crucial challenge for small and medium-sized enterprises (SMEs). The alternative, therefore, tends to be informal channels. However, the credit constraint vis-à-vis informal channel link does not appear to be well documented in the literature. This study aims to investigate whether credit constraints significantly affect the probability of accessing informal credit, as well as the credit values of Vietnamese SMEs.Design/methodology/approachThis study uses a trinary approach and correlated random-effects Probit and Tobit techniques to avoid the incidental coefficients problem.FindingsThe results suggest that relative to unconstrained and partially constrained firms, fully constrained firms tend to be more active in the informal credit markets, shown by their higher probability of informal credit access and larger credit values.Originality/valueTo the best of authors’ knowledge, this is the first study on Vietnam that takes a different approach to credit constraints and examines their impact on informal credit access. Policy implications arise and are discussed.Peer reviewThe peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-11-2017-0543

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