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Housing, Land Prices, and the Link between Growth and Saving

Author

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  • Angus Deaton

    (Crest)

  • Guy Laroque

    (Crest)

Abstract

This paper is concerned with the relationship between saving and growth. Within an overlapping- generations model of economic growth, we ask how the existence of a fixed supply of land for housing, for which consumers must save prior to ownership, and whose price is bid up by economic growth, affects the steady state growth path of the economy.
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Suggested Citation

  • Angus Deaton & Guy Laroque, 1999. "Housing, Land Prices, and the Link between Growth and Saving," Working Papers 99-22, Center for Research in Economics and Statistics.
    • Handle: RePEc:crs:wpaper:99-22
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    File URL: http://crest.science/RePEc/wpstorage/1999-22.pdf
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    Cited by:

    1. Michaud, Amanda & Rothert, Jacek, 2014. "Optimal borrowing constraints and growth in a small open economy," Journal of International Economics, Elsevier, vol. 94(2), pages 326-340.

    More about this item

    JEL classification:

    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets
    • D14 - Microeconomics - - Household Behavior - - - Household Saving; Personal Finance

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