Vacancies in Housing and Labor Markets
نویسندگان
چکیده
The housing and business cycles are clearly tied together and this has been documented in the recent literature. Our analysis of the housing and labor markets is based on a DMP model for interdependent housing and labor markets that gives rise naturally to vacancy rates in housing and labor markets. We estimate the model using data at the MSA level on housing vacancies from the US Census Bureau’s Housing Vacancy Survey (HVS) starting in 1986 and data on job vacancies from the Help-Wanted Index that starts in 1951 and from the Job Opening and Labor Turnover Survey (JOLTS) since December 2000. We also estimate a Beveridge curve for labor markets, while allowing for spillovers from the housing market, as well as a novel Beveridge curve for the housing market. Our estimates accounts for interdependence between those markets, and so do a number of VAR-type models for housing and job vacancies. The results from the VAR models can be used to study how shocks to either the housing or labor markets will propagate themselves in the other market. This can help explain the strong relationship between the housing and labor markets during the Great Recession of 2007-2009.
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