【主讲】Daxuan Zhao (Assistant Professor at Renmin University)
【主题】The Effects of Local Risk on Homeownership
【时间】2017年11月22日 (周三) 10：30-12：00
【地点】上海财经大学经济学院楼701室
【语言】英文
【摘要】Housing is a local good and housing market is clear with each region. The local income risks affect the tenure choice of household and dynamic of housing price. Our paper decomposes local risk into three components: idiosyncratic growth, relative systematic risk and idiosyncratic risk, namely, local alpha, local beta and local sigma, respectively. We examine the effects of local risk on local housing market and find that household has stronger incentives to purchase housing asset in the region with higher local alpha, higher local beta and lower local sigma. The price-to-rent ratio can be explained by the local risk.
