Intratemporal nonseparability between housing and nondurable consumption: Evidence from reinvestment in housing stock

Using the data on maintenance expenditures and self-assessed house value, I separate measure of individual housing stock prices, use these for testing whether nondurable consumption are characterized by intratemporal nonseparability in households’ preferences. find evidence favor dependence between total housing. My findings indicate elasticity substitution is higher than intertemporal composite bundles. Moreover, assuming CES utility, my results indicative about complementarity