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The Phenomenon of an Information Cascade on The Real Estate Market

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  • Justyna Brzezicka

Abstract

This article concerns the issue of an information cascade on the real estate market. In the theoretical part of the paper the issue of an information cascade has been defined, the mechanism of its functioning has been explained and the most favourable determinants of the real estate market due to which an information cascade exists have been described. The methodological part comprises the analysis of the real estate market in Olsztyn conducted with the use of a two-step research. The volumes of transactions concluded in the sector of the residential real estate and characterized by great dynamism and changes in time constituted the research category. The most important conclusions drawn from the paper are connected with the confirmation of the existence of an information cascade on the real estate market due to the general characteristics of the real estate market and the mechanism of creating a cascade that are favourable to the formation of this phenomenon.

Suggested Citation

  • Justyna Brzezicka, 2014. "The Phenomenon of an Information Cascade on The Real Estate Market," Ekonomia journal, Faculty of Economic Sciences, University of Warsaw, vol. 39.
    • Handle: RePEc:eko:ekoeko:39_7
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    File URL: http://ekonomia.wne.uw.edu.pl/ekonomia/getFile/747
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