A multiple error-correction model of housing supply

Stevenson, S. and Young, J. (2014) A multiple error-correction model of housing supply. Housing Studies, 29 (3). pp. 362-379. ISSN 1466-1810 doi: 10.1080/02673037.2013.803040

Abstract/Summary

This paper considers supply dynamics in the context of the Irish residential market. The analysis, in a multiple error-correction framework, reveals that although developers did respond to disequilibrium in supply, the rate of adjustment was relatively slow. In contrast, however, disequilibrium in demand did not impact upon supply, suggesting that inelastic supply conditions could explain the prolonged nature of the boom in the Irish market. Increased elasticity in the later stages of the boom may have been a contributory factor in the extent of the house price falls observed in recent years.

Item Type	Article
URI	https://reading-clone.eprints-hosting.org/id/eprint/35449
Item Type	Article
Refereed	Yes
Divisions	Henley Business School > Real Estate and Planning
Publisher	Routledge
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