TY - BOOK ID - 85284816 TI - Fundamental and Speculative Demands for Housing PY - 2019 SN - 1498304583 1498304567 PB - Washington, D.C. : International Monetary Fund, DB - UniCat KW - Housing KW - Infrastructure KW - Macroeconomics KW - Real Estate KW - General Aggregative Models: General KW - Business Fluctuations KW - Cycles KW - Real Estate Markets, Spatial Production Analysis, and Firm Location: General KW - Housing Supply and Markets KW - Economic Development: Urban, Rural, Regional, and Transportation Analysis KW - Price Level KW - Inflation KW - Deflation KW - Nonagricultural and Nonresidential Real Estate Markets KW - Macroeconomics: Consumption KW - Saving KW - Wealth KW - Property & real estate KW - Housing prices KW - Price structures KW - Land prices KW - Consumption KW - National accounts KW - Prices KW - Saving and investment KW - Economics KW - United States UR - https://www.unicat.be/uniCat?func=search&query=sysid:85284816 AB - This paper separates the roles of demand for housing services and belief about future house prices in a house price cycle, by utilizing a feature of user-cost-of-housing that it is sensitive to demand for housing services only. Optimality conditions of producing housing services determine user-cost-of-housing and the elasticity of substitution between land and structures in producing housing services. I find that the impact of demand for housing services on house prices is amplified by a small elasticity of substitution, and demand explained four fifths of the U.S. house price boom in the 2000s. ER -