The subprime mortgage crisis: irrational exuberance or rational error?
Author
Abstract
Suggested Citation
Download full text from publisher
References listed on IDEAS
- Morris A. Davis, 2010.
"housing and the business cycle,"
The New Palgrave Dictionary of Economics,,
Palgrave Macmillan.
- Morris A. Davis & Jonathan Heathcote, 2005. "Housing And The Business Cycle," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 46(3), pages 751-784, August.
- Davis, Morris & Heathcote, Jonathan, 2001. "Housing and the Business Cycle," Working Papers 01-09, Duke University, Department of Economics.
- Morris A. Davis & Jonathan Heathcote, 2004. "Housing and the business cycle," Finance and Economics Discussion Series 2004-11, Board of Governors of the Federal Reserve System (U.S.).
- Jonathan Heathcote, 2003. "Housing and the Business Cycle," Working Papers gueconwpa~03-03-21, Georgetown University, Department of Economics.
- Grossman, Sanford J & Laroque, Guy, 1990.
"Asset Pricing and Optimal Portfolio Choice in the Presence of Illiquid Durable Consumption Goods,"
Econometrica, Econometric Society, vol. 58(1), pages 25-51, January.
- Sanford J. Grossman & Guy Laroque, 1987. "Asset Pricing and Optimal Portfolio Choice in the Presence of Illiquid Durable Consumption Goods," NBER Working Papers 2369, National Bureau of Economic Research, Inc.
- Sanford J Grossman & Guy Laroque, 2003. "Asset Pricing and Optimal Portfolio Choice in the Presence of Illiquid Durable Consumption Goods," Levine's Working Paper Archive 618897000000000803, David K. Levine.
- Marjorie Flavin & Shinobu Nakagawa, 2004. "A Model of Housing in the Presence of Adjustment Costs: A Structural Interpretation of Habit Persistence," NBER Working Papers 10458, National Bureau of Economic Research, Inc.
- Kristopher Gerardi & Adam Hale Shapiro & Paul S. Willen, 2007.
"Subprime outcomes: risky mortgages, homeownership experiences, and foreclosures,"
Working Papers
07-15, Federal Reserve Bank of Boston.
- Paul S. Willen & Adam Hale Shapiro & Kristopher Gerardi, 2008. "Subprime Outcomes: Risky Mortgages, Homeownership Experiences, and Foreclosures," 2008 Meeting Papers 345, Society for Economic Dynamics.
- Robert F. Martin, 2003. "Consumption, durable goods, and transaction costs," International Finance Discussion Papers 756, Board of Governors of the Federal Reserve System (U.S.).
- Giovanni Dell’ariccia & Deniz Igan & Luc Laeven, 2012.
"Credit Booms and Lending Standards: Evidence from the Subprime Mortgage Market,"
Journal of Money, Credit and Banking, Blackwell Publishing, vol. 44, pages 367-384, March.
- Giovanni Dell’Ariccia & Deniz Igan & Luc Laeven, 2012. "Credit Booms and Lending Standards: Evidence from the Subprime Mortgage Market," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 44(2‐3), pages 367-384, March.
- Mr. Giovanni Dell'Ariccia & Mr. Luc Laeven & Ms. Deniz O Igan, 2008. "Credit Booms and Lending Standards: Evidence From the Subprime Mortgage Market," IMF Working Papers 2008/106, International Monetary Fund.
- Dell'Ariccia, Giovanni & Laeven, Luc, 2008. "Credit Booms and Lending Standards: Evidence From The Subprime Mortgage Market," CEPR Discussion Papers 6683, C.E.P.R. Discussion Papers.
- Dell’Ariccia, G. & Igan, D. & Laeven, L., 2009. "Credit Booms and Lending Standards : Evidence from the Subprime Mortgage Market," Discussion Paper 2009-46 S, Tilburg University, Center for Economic Research.
- Dell’Ariccia, G. & Igan, D. & Laeven, L., 2009. "Credit Booms and Lending Standards : Evidence from the Subprime Mortgage Market," Other publications TiSEM 02d2a85a-26f4-4f3d-a892-1, Tilburg University, School of Economics and Management.
- Kau, James B, et al, 1992. "A Generalized Valuation Model for Fixed-Rate Residential Mortgages," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 24(3), pages 279-299, August.
- L. Wray, 2008.
"Lessons from the Subprime Meltdown,"
Challenge, Taylor & Francis Journals, vol. 51(2), pages 40-68.
- L. Randall Wray, 2007. "Lessons from the Subprime Meltdown," Economics Working Paper Archive wp_522, Levy Economics Institute.
- Todd Sinai & Nicholas S. Souleles, 2005.
"Owner-Occupied Housing as a Hedge Against Rent Risk,"
The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 120(2), pages 763-789.
- Todd Sinai & Nicholas S. Souleles, 2003. "Owner-Occupied Housing as a Hedge Against Rent Risk," NBER Working Papers 9462, National Bureau of Economic Research, Inc.
- Todd M. Sinai & Nicholas S. Souleles, 2005. "Owner-occupied housing as a hedge against rent risk," Working Papers 05-10, Federal Reserve Bank of Philadelphia.
- Mark Doms & Frederick T. Furlong & John Krainer, 2007. "Subprime mortgage delinquency rates," Working Paper Series 2007-33, Federal Reserve Bank of San Francisco.
- Marjorie Flavin & Takashi Yamashita, 2002. "Owner-Occupied Housing and the Composition of the Household Portfolio," American Economic Review, American Economic Association, vol. 92(1), pages 345-362, March.
- Gervais, Martin, 2002.
"Housing taxation and capital accumulation,"
Journal of Monetary Economics, Elsevier, vol. 49(7), pages 1461-1489, October.
- Martin Gervais, 1998. "Housing Taxation and Capital Accumulation," University of Western Ontario, Departmental Research Report Series 9809, University of Western Ontario, Department of Economics.
- Davis, Morris A. & Martin, Robert F., 2009.
"Housing, home production, and the equity- and value-premium puzzles,"
Journal of Housing Economics, Elsevier, vol. 18(2), pages 81-91, June.
- Morris A. Davis & Robert F. Martin, 2008. "Housing, home production, and the equity and value premium puzzles," International Finance Discussion Papers 931, Board of Governors of the Federal Reserve System (U.S.).
- Jan Kregel, 2008. "Minsky’s Cushions of Safety: Systemic Risk and the Crisis in the U.S. Subprime Mortgage Market," Economics Public Policy Brief Archive ppb_93, Levy Economics Institute.
- Kau, James B & Keenan, Donald C & Muller, Walter J, III & Epperson, James F, 1993. "Option Theory and Floating-Rate Securities with a Comparison of Adjustable- and Fixed-Rate Mortgages," The Journal of Business, University of Chicago Press, vol. 66(4), pages 595-618, October.
- Cox, John C & Ingersoll, Jonathan E, Jr & Ross, Stephen A, 1985. "An Intertemporal General Equilibrium Model of Asset Prices," Econometrica, Econometric Society, vol. 53(2), pages 363-384, March.
- Lambrecht, Bart M & Perraudin, William R M & Satchell, Steven, 2003. "Mortgage Default and Possession under Recourse: A Competing Hazards Approach," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 35(3), pages 425-442, June.
- Benjamin J. Keys & Tanmoy Mukherjee & Amit Seru & Vikrant Vig, 2010. "Did Securitization Lead to Lax Screening? Evidence from Subprime Loans," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 125(1), pages 307-362.
- Diaz-Serrano, Luis, 2005. "Income volatility and residential mortgage delinquency across the EU," Journal of Housing Economics, Elsevier, vol. 14(3), pages 153-177, September.
- John C. Weicher, 2007. "The Long and Short of Housing: The Home Ownership Boom and the Subprime Foreclosure Bust," NFI Policy Briefs 2007-PB-09, Indiana State University, Scott College of Business, Networks Financial Institute.
Most related items
These are the items that most often cite the same works as this one and are cited by the same works as this one.- Davis, Morris A. & Van Nieuwerburgh, Stijn, 2015.
"Housing, Finance, and the Macroeconomy,"
Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 753-811,
Elsevier.
- Morris A. Davis & Stijn Van Nieuwerburgh, 2014. "Housing, Finance and the Macroeconomy," NBER Working Papers 20287, National Bureau of Economic Research, Inc.
- Khandani, Amir E. & Lo, Andrew W. & Merton, Robert C., 2013.
"Systemic risk and the refinancing ratchet effect,"
Journal of Financial Economics, Elsevier, vol. 108(1), pages 29-45.
- Amir E. Khandani & Andrew W. Lo & Robert C. Merton, 2009. "Systemic Risk and the Refinancing Ratchet Effect," NBER Working Papers 15362, National Bureau of Economic Research, Inc.
- Amir E. Khandani & Andrew W. Lo & Robert C. Merton, 2009. "Systemic Risk and the Refinancing Ratchet Effect," Harvard Business School Working Papers 10-023, Harvard Business School, revised Jul 2010.
- repec:esx:essedp:712 is not listed on IDEAS
- Piazzesi, M. & Schneider, M., 2016.
"Housing and Macroeconomics,"
Handbook of Macroeconomics, in: J. B. Taylor & Harald Uhlig (ed.), Handbook of Macroeconomics, edition 1, volume 2, chapter 0, pages 1547-1640,
Elsevier.
- Schneider, Martin & Piazzesi, Monika, 2016. "Housing and macroeconomics," CEPR Discussion Papers 11519, C.E.P.R. Discussion Papers.
- Monika Piazzesi & Martin Schneider, 2016. "Housing and Macroeconomics," NBER Working Papers 22354, National Bureau of Economic Research, Inc.
- Jonathan Halket & Santhanagopalan Vasudev, 2014.
"Saving Up or Settling Down: Home Ownership over the Life Cycle,"
Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 17(2), pages 345-366, April.
- Jonathan Halket & Santhanagopalan Vasudev, 2013. "Online Appendix to "Saving Up or Settling Down: Home Ownership over the Life Cycle," Online Appendices 12-89, Review of Economic Dynamics.
- Jonathan Halket & Santhanagopalan Vasudev, 2013. "Code and data files for "Saving Up or Settling Down: Home Ownership over the Life Cycle"," Computer Codes 12-89, Review of Economic Dynamics.
- Jan Rouwendal, 2009. "Housing Wealth and Household Portfolios in an Ageing Society," De Economist, Springer, vol. 157(1), pages 1-48, March.
- In Ho Song, 2013. "House Prices and Monetary Policy: Focus on The Elasticity of Intra-Temporal Substitution between Housing and Consumption," 2013 Meeting Papers 747, Society for Economic Dynamics.
- Matthew Chambers & Carlos Garriga & Don E. Schlagenhauf, 2009.
"Accounting For Changes In The Homeownership Rate,"
International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 50(3), pages 677-726, August.
- Yoshiro Miwa & Matthew Chambers & Carlos Garriga & Don E. Schlagenhauf, 2004. "Accounting for Changes in the Homeownership Rate," CIRJE F-Series CIRJE-F-312, CIRJE, Faculty of Economics, University of Tokyo.
- Matthew Chambers & Carlos Garriga, 2005. "Accounting for Changes in the Homeownership Rate," Computing in Economics and Finance 2005 304, Society for Computational Economics.
- Matthew Chambers & Carlos Garriga & Don E. Schlagenhauf, 2007. "Accounting for changes in the homeownership rate," FRB Atlanta Working Paper 2007-21, Federal Reserve Bank of Atlanta.
- Matthew Chambers & Carlos Garriga & Don E. Schlagenhauf, 2007. "Accounting for changes in the homeownership rate," Working Papers 2007-034, Federal Reserve Bank of St. Louis.
- Fernández-Villaverde, Jesús & Krueger, Dirk, 2011.
"Consumption And Saving Over The Life Cycle: How Important Are Consumer Durables?,"
Macroeconomic Dynamics, Cambridge University Press, vol. 15(5), pages 725-770, November.
- Jesus Fernandez-Villaverde & Dirk Krueger, 2004. "Consumption and Saving over the Life Cycle: How Important are Consumer Durables?," 2004 Meeting Papers 357b, Society for Economic Dynamics.
- Rodney Ramcharan & Christopher Crowe, 2013.
"The Impact of House Prices on Consumer Credit: Evidence from an Internet Bank,"
Journal of Money, Credit and Banking, Blackwell Publishing, vol. 45(6), pages 1085-1115, September.
- Christopher Crowe & Rodney Ramcharan, 2012. "The impact of house prices on consumer credit: evidence from an internet bank," Finance and Economics Discussion Series 2012-60, Board of Governors of the Federal Reserve System (U.S.).
- Bonnet, Carole & Gobillon, Laurent & Laferrère, Anne, 2010.
"The effect of widowhood on housing and location choices,"
Journal of Housing Economics, Elsevier, vol. 19(2), pages 94-108, June.
- Carole Bonnet & Laurent Gobillon & Anne Laferrere, 2008. "The Effect of Widowhood on Housing and Location Choices," Working Papers 2008-12, Center for Research in Economics and Statistics.
- Carole Bonnet & Laurent Gobillon & Anne Laferrère, 2010. "The effect of Widowhood on Housing and Location Choices," PSE-Ecole d'économie de Paris (Postprint) halshs-00754442, HAL.
- Carole Bonnet & Laurent Gobillon & Anne Laferrère, 2010. "The effect of Widowhood on Housing and Location Choices," Post-Print halshs-00754442, HAL.
- Halket, Jonathan R & Vasudev, Santhanagopalan, 2012. "Home Ownership, Savings, and Mobility Over The Life Cycle," Economics Discussion Papers 2876, University of Essex, Department of Economics.
- Joseph B. Nichols, 2007. "Nominal mortgage contracts and the effects of inflation on portfolio allocation," Finance and Economics Discussion Series 2007-67, Board of Governors of the Federal Reserve System (U.S.).
- William Goetzmann & Liang Peng & Jacqueline Yen, 2012.
"The Subprime Crisis and House Price Appreciation,"
The Journal of Real Estate Finance and Economics, Springer, vol. 44(1), pages 36-66, January.
- William N. Goetzmann & Liang Peng & Jacqueline Yen, 2009. "The Subprime Crisis and House Price Appreciation," NBER Working Papers 15334, National Bureau of Economic Research, Inc.
- Wenli Li & Haiyong Liu & Fang Yang & Rui Yao, 2016.
"Housing Over Time And Over The Life Cycle: A Structural Estimation,"
International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 57(4), pages 1237-1260, November.
- Wenli Li & Haiyong Liu & Rui Yao, 2009. "Housing over time and over the life cycle: a structural estimation," Working Papers 09-7, Federal Reserve Bank of Philadelphia.
- Wenli Li & Haiyong Liu & Fang Yang & Rui Yao, 2015. "Housing over time and over the life cycle: a structural estimation," Working Papers 15-4, Federal Reserve Bank of Philadelphia.
- Jian Chen & Jin Xiang & Tyler T. Yang, 2018. "Re-Default Risk of Modified Mortgages," International Real Estate Review, Global Social Science Institute, vol. 21(1), pages 1-40.
- Bonnet, Carole & Gobillon, Laurent & Laferrère, Anne, 2010.
"The effect of widowhood on housing and location choices,"
Journal of Housing Economics,
Elsevier, vol. 19(2), pages 94-108, June.
- Carole Bonnet & Laurent Gobillon & Anne Laferrere, 2008. "The Effect of Widowhood on Housing and Location Choices," Working Papers 2008-12, Center for Research in Economics and Statistics.
- Carole Bonnet & Laurent Gobillon & Anne Laferrère, 2008. "The effect of widowhood on housing and location choices," Working Papers 154, Institut National d'Études Démographiques (INED).
- Carole Bonnet & Laurent Gobillon & Anne Laferrère, 2010. "The effect of Widowhood on Housing and Location Choices," Post-Print halshs-00754442, HAL.
- European Central Bank & Stefano Corradin, 2009.
"Household Leverage,"
2009 Meeting Papers
906, Society for Economic Dynamics.
- Corradin, Stefano, 2012. "Household leverage," Working Paper Series 1452, European Central Bank.
- repec:esx:essedp:718 is not listed on IDEAS
- John Krainer & Elizabeth Laderman, 2011. "Prepayment and delinquency in the mortgage crisis period," Working Paper Series 2011-25, Federal Reserve Bank of San Francisco.
- Joseph Nichols, 2004. "A Life-cycle Model with Housing, Portfolio Allocation, and Mortgage Financing," Econometric Society 2004 North American Winter Meetings 205, Econometric Society.
- Antonia Diaz & Maria Jose Luengo Prado, 2008.
"On the User Cost and Homeownership,"
Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 11(3), pages 584-613, July.
- Antonia Díaz & Maria J. Luengo-Prado, 2006. "On The User Cost and Homeownership," Working Papers 2006-14, FEDEA.
- Luengo Prado, María José, 2006. "On the user cost and homeownership," UC3M Working papers. Economics we065421, Universidad Carlos III de Madrid. Departamento de EconomÃa.
Corrections
All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedfpr:y:2009:i:jan:x:12. See general information about how to correct material in RePEc.
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Federal Reserve Bank of San Francisco Research Library (email available below). General contact details of provider: https://edirc.repec.org/data/frbsfus.html .
Please note that corrections may take a couple of weeks to filter through the various RePEc services.