scholarly journals Housing Prices at the Time of QEs in California: Effect of Mortgage Rates

2017 ◽  
Vol 8 (2) ◽  
pp. 1
Author(s):  
Yalan Feng ◽  
Donald C. Keenan ◽  
Taewon Kim ◽  
Daniel C. Lee
Keyword(s):  
Interest Rates ◽  
Housing Market ◽  
Great Recession ◽  
Housing Prices ◽  
Quantitative Easing ◽  
The Great Recession ◽  
Mortgage Rates ◽  
Run Up ◽  
The Impact ◽  
The Relationship

In this paper we look at the impact of mortgage rates on California’s housing prices during the Great Recession when the quantitative easing (QE) programs were implemented. We find that the relationship between mortgage rates and housing prices is not strong and it becomes weaker, the closer the period gets to the Great Recession. Our analysis confirms some of the existing literature on the relationship between interest rates and housing prices; that in the boom-bust housing market cycles, interest rates do not play a major role one would expect in determining the demand for housing. Our analysis shows that, even as interest rates were high in the run up to the housing market peak in 2007, housing prices kept going up; and that after the bubble burst, even as rates were kept low, housing prices did not start recovering until 2011.

scholarly journals Housing Price and Population Changes: Growing vs Shrinking Cities

2018 ◽  
Vol 7 (4) ◽  
pp. 59
Author(s):  
Yalan Feng ◽  
Taewon Kim ◽  
Daniel C Lee
Keyword(s):  
Housing Market ◽  
Recovery Period ◽  
Housing Prices ◽  
Housing Price ◽  
The United States ◽  
Population Changes ◽  
The Great Recession ◽  
Population Variable ◽  
Mortgage Rates ◽  
The Relationship

Housing prices in the United States experienced a significant meltdown during the Great Recession. Since then, the housing market has seen a nationwide recovery, even over-heating in some regions. In this paper, we look back at that era and study the possible impact of population changes on housing markets in 2010-2017. Our focus is not to look at how the housing market recovered from the recession per se. Rather, our study is to look at the relationship between population changes and their impact on housing prices, even during the recovery period. In addition to the population variable, our model employs a few other factors known to affect housing prices, such as the unemployment rate, the GDP per capita, mortgage rates and the housing supply.

Modeling Fiscal Stress and Contracting Out in Local Government: The Influence of Time, Financial Condition, and the Great Recession

2017 ◽  
Vol 48 (6) ◽  
pp. 565-583 ◽  
Author(s):  
Antonio M. López-Hernández ◽  
José L. Zafra-Gómez ◽  
Ana M. Plata-Díaz ◽  
Emilio J. de la Higuera-Molina
Keyword(s):  
Great Recession ◽  
Local Governments ◽  
Fiscal Stress ◽  
Contracting Out ◽  
The Great Recession ◽  
Financial Condition ◽  
Precise Understanding ◽  
The Impact ◽  
The Relationship

Various studies have analyzed the relationship between fiscal stress and contracting out, but have failed to achieve conclusive results. In this article, we take a broad view of fiscal stress, addressed in terms of financial condition and studied over a lengthy period (2000-2010). The relationship between fiscal stress and contracting out is studied using a dynamic model, based on survival analysis, a methodology that enables us to take into account the effect of time on this relationship. As this study period includes the years of the Great Recession (2008-2010), we also highlight the impact of this event on the fiscal stress–contracting out relation. The results obtained suggest that taking into account the passage of time and conducting a long-term assessment of financial condition enable a more precise understanding of this relation. We also find that the Great Recession reduced the probability of local governments’ contracting out public services.

scholarly journals Dynamics in Turkish Housing Market

2019 ◽  
Author(s):  
Sıtkı Sönmezer ◽  
Gürol Aytüre
Keyword(s):  
Real Estate ◽  
Interest Rates ◽  
Housing Market ◽  
Foreign Currency ◽  
Housing Prices ◽  
Real Estate Market ◽  
Construction Sector ◽  
Increased Risk ◽  
Mortgage Rates ◽  
Significant Factors

The recent economic crises of the summer 2018 has led to hiking foreign currency prices and an increased risk perception. Moreover, promising returns of alternative investments has convinced investors to refrain from the housing market and the demand in real estate market has fallen significantly. Measuring the demand for housing precisely is crucial for overcoming economic difficulties as well as understanding the profitability, liquidity and the future of construction sector in Turkey. In this study, significant factors that have impact on the demand for real estate market are assumed to be dynamic. Different regimes are formed based on interest rates and factors like housing prices, location, mortgage rates, bond rates, foreign currency returns, gold returns and iron prices are used to test the changes in the demand for real estate.

Conclusion

2017 ◽  
Author(s):  
James E. Coverdill ◽  
William Finlay
Keyword(s):  
Human Capital ◽  
Information Asymmetry ◽  
Adverse Selection ◽  
Great Recession ◽  
New Technologies ◽  
Electronic Marketplace ◽  
Cultural Fit ◽  
The Great Recession ◽  
The Impact ◽  
The Relationship

This chapter addresses the four major theoretical questions that this book has raised: (1) the value of headhunters to employers, (2) the relationship between cultural fit and hiring, (3) the difficulty of recruiting and hiring in the wake of the Great Recession, and (4) the impact of new technologies on recruiting. It is argued that headhunters prove their worth by talking to clients and candidates; that cultural fit matters but human capital or skill is equally important; that the Great Recession exacerbated the problems of adverse selection and information asymmetry thus making employers and candidates more reluctant to commit to each other; and that the technology most likely to change headhunting is the electronic marketplace.

scholarly journals Exploration of the Windfall and Market Entrepreneurship During the Great Recession

2019 ◽  
Vol 10 (6) ◽  
pp. 15
Author(s):  
Amaechi N. Nwaokoro ◽  
Lee Washington ◽  
Autumn Griffin
Keyword(s):  
Housing Market ◽  
Great Recession ◽  
Opportunity Cost ◽  
Exploratory Study ◽  
Market Conditions ◽  
Economic Opportunities ◽  
The Great Recession ◽  
Economic Markets ◽  
The Impact

Market innovative entrepreneurs have the desire of exploring declining economic markets to seek for windfall. They seek to profit heavily from adverse market conditions. The Great Recession may have presented some economic disasters, rage, and hardship to many people in the housing market in the 2000s but to the innovative market entrepreneurs, it presented some economic opportunities for experiencing a market windfall. Mostly, the objective of this exploratory study is to highlight the impact of the opportunistic events created by the housing foreclosure fillings, completed foreclosures, and home repossessions on the indexed price of housing that harbors the related opportunity cost. The increased indexed price of the housing driven by the fluctuation of both the quantity demanded and produced of housing seems to have led to the entrepreneurial windfall profit during the recession.

scholarly journals Disparities in Wealth Accumulation and Loss from the Great Recession and Beyond

2014 ◽  
Vol 104 (5) ◽  
pp. 240-244 ◽  
Author(s):  
Signe-Mary McKernan ◽  
Caroline Ratcliffe ◽  
Eugene Steuerle ◽  
Sisi Zhang
Keyword(s):  
Housing Market ◽  
Great Recession ◽  
Wealth Accumulation ◽  
Survey Of Consumer Finances ◽  
The Great Recession ◽  
Consumer Finances ◽  
Family Wealth ◽  
Synthetic Cohort ◽  
Pseudo Panel ◽  
The Impact

Using over two decades of Survey of Consumer Finances data and a pseudo-panel technique, we measure the impact of the Great Recession on US family wealth relative to the counterfactual of what wealth would have been given wealth accumulation trajectories. Our synthetic cohort-level models find that the Great Recession reduced average family wealth by 28.5 percent-nearly double the magnitude of previous pre-post mean descriptive estimates and double the magnitude of any previous recession since the 1980s. The housing market was only part of the story; all major wealth components fell as a result of the Great Recession.

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