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The Impact of Unseasonable Weather on Housing Starts

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  • Mark T. Cammarota

Abstract

This study tests the effects of unseasonable weather on housing starts at the national and regional level. Goodman [1] examined this issue and concluded that abnormal weather conditions have little or no effect on the pace of housing starts. The models presented in this study allow the impact of unseasonable weather on starts to vary over each month of the year whereas the specification in Goodman constrained these effects to vary between only the summer and winter. In addition, lagged weather deviations are included in the model to determine if unseasonable weather affects the demand for housing or merely the timing of housing starts. The results suggest that unseasonable weather does affect the pace of housing starts in the months of the first quarter. Oddly enough, however, the results indicate that the effects of weather on starts are not offset in following months.

Suggested Citation

  • Mark T. Cammarota, 1989. "The Impact of Unseasonable Weather on Housing Starts," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 17(3), pages 300-313, September.
    • Handle: RePEc:bla:reesec:v:17:y:1989:i:3:p:300-313
    DOI: 10.1111/1540-6229.00493
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    References listed on IDEAS

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    1. John L. Goodman, 1987. "Housing and the Weather," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 15(1), pages 638-663, March.
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    Cited by:

    1. Bertrand, Jean-Louis & Brusset, Xavier & Fortin, Maxime, 2015. "Assessing and hedging the cost of unseasonal weather: Case of the apparel sector," European Journal of Operational Research, Elsevier, vol. 244(1), pages 261-276.
    2. Ball, Michael & Meen, Geoffrey & Nygaard, Christian, 2010. "Housing supply price elasticities revisited: Evidence from international, national, local and company data," Journal of Housing Economics, Elsevier, vol. 19(4), pages 255-268, December.

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