The Macroeconomic Effects of Housing Wealth, Housing Finance, and Limited Risk Sharing in General Equilibrium

By Jack Y Favilukis, Sydney C. Ludvigson, Stijn Van Nieuwerburgh. Journal of Political Economy, 2017

393 citations recorded by the source corpus.

Subfields: Accounting, Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/e81c0e54db7954e62066fa625bfd3e4ef88f1817

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Citations in the corpus

Microeconomic Heterogeneity and Macroeconomic Shocks (2018, positive): “Finally, in a version of the model with endogenous unsecured or secured credit limits (e.g. Chatterjee et al., 2007; Favilukis et al., 2017), aggregate shocks can transmit to the real economy also by modifying the extent of credit availability.”
Mortgage Design in an Equilibrium Model of the Housing Market (2018, neutral): “Some authors such as Favilukis, Ludvigson, and Van Nieuwerburgh (2017) argue that a tightening LTV constraint explains the entire crisis.”
The Housing Boom and Bust: Model Meets Evidence (2017, positive): “Based on the evidence in Favilukis et al. (2017), we assume that in times of normal credit conditions the fixed cost is $2, 000 and the wedge is 100 basis points and in times of relaxed credit the fixed cost falls to $1,200 and the wedge to 60 basis points, corresponding to a 40% drop in both parame”
Unemployment (fears) and Deflationary Spirals (2015, neutral): “(2012), Favilukis et al. (2017), Jung and Kuester (2015), and Ravn and Sterk (2017).”
Policy Intervention in Debt Renegotiation: Evidence from the Home Affordable Modification Program (2016, neutral): “…result in significant deadweight losses for borrowers and lenders or because they result in negative externalities for the society (see 7 See also recent models by Piazzesi and Schneider (2009), Favilukis et al. (2010), Burnside el al.”
House Prices, Local Demand, and Retail Prices (2019, neutral): “The fact that our house-price-induced demand shocks are large, unanticipated, and generate the kinds of changes in household shopping behavior and demand elasticity observed in recessions contrasts our approach with existing micro studies of demand shocks such as Warner and Barsky (1995), Chevalier,”
House Prices and Consumer Spending (2015, neutral): “(15)Good examples are Favilukis et al. (2015) and Chen et al. (2013). Early work in this direction—that does not model housing—includes Hall (2011), Guerrieri and Lorenzoni (2011), Eggertsson and Krugman (2012). (16)See, Midrigan and Philippon (2011) and Justiniano et al.”
International Credit Supply Shocks (2017, neutral): “…study the role of international capital flows in fueling the US housing boom and subsequent crash— see, among others, Justiniano et al. (2015), and Favilukis et al. (2017).3 In this paper, we explore the role of house prices and exchange rates for the transmission of capital flow shocks…”