A macro model incorporating rational expectations in financial markets (the Murphy Model - MM) is used to endogenize the macroeconomic environment for a comprehensive general equilibrium model (ORANI). The interface exploits the existence of variables which are endogenous to both models,...

This paper presents three satellite models for the Forecasting and Policy System (FPS). Satellite models are used to disaggregate the projections generated by the core model into a more detailed profile. The household expenditure, exports, and business investment satellite models disaggregate...

We develop two search-theoretic models emphasizing firm entry to examine the Oswald hypothesis, the idea that homeownership is linked to inferior labor market outcomes, and compare their predictions to three extant theories. The five models have surprisingly different predictions about the labor...

This paper explores an overlooked phenomenon in mortgage markets: repayment of underwater mortgages. Since repayment in this case requires the borrower to use out-of-pocket funds along with the proceeds from the house sale to settle the loan, it may appear unattractive and even irrational. But...

The authors use hedonic rent and wage equations to measure the compensating differentials that obtain in central cities with franchises of the National Football League. They use repeated observations of cities over time and thereby obtain identification of the NFL effect through franchise...

In the second article, "Housing Policy and the Social Benefits of Homeownership," Ed Coulson states that the major subsidies to homeownership arise from the U.S. tax code, and the costs of these subsidies are high. Coulson asks whether the social benefits from homeownership are sufficient to...

This paper tests for cointegration between regional output of an industry and national output of the same industry. An equilibrium economic theory is presented to argue for the plausibility of cointegration, however, regional economic forecasting using the shift and share framework often acts as...

In mortgage debt contracts, real property serves as collateral and the terms of mortgage financing are largely conditional on the certification of collateral value by appraisers. However, overstatement of collateral value is common in the appraisal industry, causing troubles in the mortgage...