during the Great Recession was much larger in zip codes that experienced a sharp decline in housing net worth. In the years … conclusion is that housing and household debt should play a larger role in models exploring the importance of household …

What are the effects of a housing bubble on the rest of the economy? We show that if firms and banks face collateral … constraints, a housing bubble initially raises credit demand by housing firms while leaving credit supply unaffected. It therefore … crowds out credit to non-housing firms. If time passes and the bubble lasts, however, housing firms eventually pay back their …

How do housing bubbles affect other economic sectors? We show that in the presence of collateral constraints, a bubble … initially raises housing credit demand and crowds out credit to non-housing firms. If the bubble lasts, however, housing credit … consistent with evidence from the recent Spanish housing bubble. Initially, credit growth of non-housing firms was lower at banks …

How do housing bubbles affect other economic sectors? We show that in the presence of collateral constraints, a bubble … initially raises housing credit demand and crowds out credit to non-housing firms. If the bubble lasts, however, housing credit … consistent with evidence from the recent Spanish housing bubble. Initially, credit growth of non-housing firms was lower at banks …

The risk premium puzzle is even worse than previously reported if housing is also taken into consideration next to … equity. While housing premia are only moderately smaller than equity premia, they are significantly less volatile and the … Sharpe ratio of housing is significantly larger. Hence, three question arise: i) are existing approaches to explain the …