Estimating impacts of consumer prices on house prices
Ma, Le and Liu, Chunlu 2008, Estimating impacts of consumer prices on house prices, in ACE 2008 : Proceedings of the 37th Australian Conference of Economists, Economic Society of Australia, Brisbane, Qld., pp. 1-16.
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Title
Estimating impacts of consumer prices on house prices
ACE 2008 : Proceedings of the 37th Australian Conference of Economists
Editor(s)
[Unknown]
Publication date
2008
Conference series
Australian Conference of Economists
Start page
1
End page
16
Publisher
Economic Society of Australia
Place of publication
Brisbane, Qld.
Summary
Real estate is widely considered as a reliable hedge of inflation rate and there have been many literatures examining the inflation-hedging characteristics of the real estate. The study described in the paper focuses on testing the significances of impacts of consumer price on house price in eight Australia's capital cities. The Autoregressive Distributed Lag model is introduced to obtain the estimates of the coefficient. The significances of the impacts are defined as the accept probability of t statistics of the coefficients. Analyses and comparisons of these significances suggested that the impacts of consumer prices on house prices depend on the inherent characteristics of cities.