Open this publication in new window or tab >>2006 (English)In: Journal of real estate finance and economics, ISSN 0895-5638, E-ISSN 1573-045X, Vol. 33, no 4, p. 329-344Article in journal (Refereed) Published
Abstract [en]
We argue that major changes in economic policy have resulted in a more market driven demand for housing investment in Sweden, due to policy changes at the end of the 1980s and the beginning of the 1990s. Tobin's transparent Q theory is the investment theory used. For the last period of the sample (1993-2003 quarterly data), our results indicate that there exists a high degree of correlation between the Q ratio and the (logarithm of) two different variables for housing investment. An error correction regression model, controlling for structural breaks, also indicates that a stable long-run relationship could be detected for the logarithm of building starts and the Q ratio between 1993-2003, but not between 1981-1992.
Keywords
Error correction model, Housing investment, Structural break, Tobin's Q
National Category
Economics and Business
Identifiers
urn:nbn:se:uu:diva-20027 (URN)10.1007/s11146-006-0336-1 (DOI)000242296500002 ()
2006-12-042006-12-042017-12-08Bibliographically approved