House-purchasing decisions and the possibility of existing homeowners to tap into their housing equity depend decisively on prevailing loan-to-value (LTV) ratios in mortgage markets with borrowing constrained households. Utilizing a smooth transition local projection (STLP) approach, I show that...

House-purchasing decisions and the possibility of existing homeowners to tap into their housing equity depend decisively on prevailing loan-to-value (LTV) ratios in mortgage markets with borrowing constrained households. Utilizing a smooth transition local projection (STLP) approach, I show that...

We study the intranational purchasing power parity (PPP) between 17 pairs of Canadian cities for the period 1984–2010, using multivariate tests of threshold cointegration in a threshold vector error correction model. Our results confirm the existence of cointegration with threshold symmetric...