House Price Shock and Business Cycle: The French Case

The Life-cycle Effects of House Price Changes

We develop a life-cycle model to study the effects of house price changes on household consumption and welfare. The model explicitly incorporates the dual feature of housing as both a consumption good and an investment asset and allows for costly adjustments in housing and mortgage positions. Our analysis indicates that although house price changes have small aggregate effects, their consumptio...

Market Power and Price Movements over the Business Cycle*

This paper develops and tests implications of an oligopoly-pricing model. The model predicts that during a demand expansion the short run competitive price is a pure strategy Nash equilibrium, but in a recession firms set prices above the competitive price. Thus, price markups over the competitive price are countercyclical. Prices set during a recession are more variable than prices set in expa...

Business Cycle Features In The Iranian Economy

Staggered Price-Setting, Staggered Wage-Setting, and Business Cycle Persistence∗

Staggered price-setting and staggered wage-setting are commonly viewed as similar mechanisms in generating persistent real effects of monetary shocks. In this paper, we distinguish the two mechanisms in a dynamic stochastic general equilibrium framework. We show that, although the dynamic pricesetting and wage-setting equations are alike, a key parameter governing persistence is linked to the u...

Investigating the Effect of Business Strategy and Stock Price Synchronicity on Stock Price Crash Risk

Stock price crash risk has a significant impact on investors, creditors, managers, and shareholders, so the prediction of this phenomenon is a very important issue in investment and risk management decisions. This research investigates the effect of business strategy and stock price synchronicity on stock price crash risk. Following Bentley et al.[2], composite strategy score has been used to ...