2026-04-13T08:11:21Zhttps://recercat.cat/oai/request

oai:recercat.cat:2445/2092432025-12-05T04:25:10Zcom_2072_1057col_2072_478809col_2072_478917

00925njm 22002777a 4500 dc Clain-Chamosset-Yvrard, Lise author Raurich, Xavier author Seegmuller, Thomas author 2024-03-26T15:59:25Z 2024-06-05T05:10:14Z 2024 2024-03-26T15:59:30Z We provide a unified framework with demand for housing over the life cycle and financial frictions to analyze the existence and macroeconomic effects of rational housing bubbles. We distinguish a housing price bubble, defined as the difference between the housing market price and its fundamental value, from a housing demand bubble, which corresponds to a situation where a pure speculative housing demand exists. In an overlapping generation exchange economy, we show that no housing price bubble occurs. However, a housing demand bubble may occur, generating a boom in housing prices and a drop in the interest rate, when households face a binding borrowing constraint. The multiplicity of steady states and endogenous fluctuations can occur when credit market imperfections are moderate. These fluctuations involve transitions between equilibria with and without a housing demand bubble that generate large fluctuations in housing prices consistent with observed patterns. We finally extend the basic framework to a production economy and we show that a housing demand bubble increases housing prices, which can still be characterized by large fluctuations. Bombolla immobiliària Especulació Control de preus Real estate bubble Speculation Price control Rational housing demand bubble