TY  - BOOK
AU  - Liu,Zheng
AU  - Wang,Pengfei
AU  - Zha,Tao
ED  - National Bureau of Economic Research.
TI  - Land-price dynamics and macroeconomic fluctuations
T2  - NBER working paper series
PY  - 2011///
CY  - Cambridge, Mass.
PB  - National Bureau of Economic Research
N1  - May 2011; Hardcopy version available to institutional subscribers
N2  - We argue that positive co-movements between land prices and business investment are a driving force behind the broad impact of land-price dynamics on the macroeconomy. We develop an economic mechanism that captures the co-movements by incorporating two key features into a DSGE model: We introduce land as a collateral asset in firms' credit constraints and we identify a shock that drives most of the observed fluctuations in land prices.  Our estimates imply that these two features combine to generate an empirically important mechanism that amplifies and propagates macroeconomic fluctuations through the joint dynamics of land prices and business investment
UR  - https://www.nber.org/papers/w17045
UR  - http://dx.doi.org/10.3386/w17045
ER  -