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Shrinking and Growing Metropolitan Areas - Asymmetric Real Estate Price Reactions?

Author

Listed:
  • Lisa Dust

    (Hamburger Weltwirtschaftsinstitut (HWWI))

  • Wolfgang Maennig

    (Chair for Economic Policy, University of Hamburg)

Abstract

The population of Germany will be one of the first in the western hemisphere to undergo considerable permanent shrinkage. In view of the relatively low elasticities of supply and demand significant negative price reactions might be expected. This work supplements existing studies by estimating real estate prices for single-family homes on the disaggregate level of Germany’s metropolitan areas. It highlights asymmetric price reactions: growth in population numbers has no significant price effects, whereas declining population numbers lead to significant negative price effects.

Suggested Citation

  • Lisa Dust & Wolfgang Maennig, 2007. "Shrinking and Growing Metropolitan Areas - Asymmetric Real Estate Price Reactions?," Working Papers 006, Chair for Economic Policy, University of Hamburg.
    • Handle: RePEc:hce:wpaper:006
    as

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    File URL: http://www.hced.uni-hamburg.de/WorkingPapers/HCED_06.pdf
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    References listed on IDEAS

    as
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    5. Kristof Dascher, 2006. "Why Demolish? : East Germanyís Vacant Housing," ERES eres2006_165, European Real Estate Society (ERES).
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    Full references (including those not matched with items on IDEAS)

    Citations

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    Cited by:

    1. Wolfgang Maennig, 2023. "Centralization in National High-Performance Sports Systems: Reasons, Processes, Dimensions, Characteristics, and Open Questions," Working Papers 073, Chair for Economic Policy, University of Hamburg.
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    3. Leo Doerr, 2024. "Aid and growth: Asymmetric effects?," Working Papers 076, Chair for Economic Policy, University of Hamburg.
    4. Steffen Q. Mueller, 2020. "Pre- and within-season attendance forecasting in Major League Baseball: a random forest approach," Applied Economics, Taylor & Francis Journals, vol. 52(41), pages 4512-4528, September.
    5. Wolfgang Maennig & Stefan Wilhelm, 2023. "Crime Prevention Effects of Data Retention Policies," Working Papers 074, Chair for Economic Policy, University of Hamburg.
    6. Franziska K. Kruse & Wolfgang Maennig, 2017. "The future development of world records," Working Papers 061, Chair for Economic Policy, University of Hamburg.
    7. Falch, Torberg & Fischer, Justina A.V., 2012. "Public sector decentralization and school performance: International evidence," Economics Letters, Elsevier, vol. 114(3), pages 276-279.
    8. Wolfgang Maennig & Matthias Ottmann, 2011. "Perspektiven des deutschen Immobilienmarktes und wirtschaftspolitische Herausforderungen," Perspektiven der Wirtschaftspolitik, Verein für Socialpolitik, vol. 12(2), pages 192-214, May.
    9. Wolfgang Maennig, 2017. "Governance in Sports Organizations," Working Papers 060, Chair for Economic Policy, University of Hamburg.
    10. Fischer, Justina AV & Sousa-Poza, Alfonso, 2010. "The impact of institutions on firms’ rejuvenation policies: Early retirement with severance pay versus simple lay-off. A Cross-European Analysis," MPRA Paper 20343, University Library of Munich, Germany.
    11. Franziska K. Kruse & Wolfgang Maennig, 2019. "Yellow Cards and Suspension by Choice: Determinants and Asymmetries," Working Papers 064, Chair for Economic Policy, University of Hamburg.
    12. Steffen Q. Mueller & Patrick Ring & Maria Schmidt, 2019. "Forecasting economic decisions under risk: The predictive importance of choice-process data," Working Papers 066, Chair for Economic Policy, University of Hamburg.
    13. Engerstam, Sviatlana, 2020. "Macroeconomic determinants of apartment prices in Swedish and German cities," Working Paper Series 20/2, Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance.
    14. Gabriel M. Ahlfeldt & Wolfgang Maennig & Felix J. Richter, 2017. "Zoning in reunified Berlin," Working Papers 059, Chair for Economic Policy, University of Hamburg.
    15. Maennig, Wolfgang & Wilhelm, Stefan, 2023. "News and noise in crime politics: The role of announcements and risk attitudes," Economic Modelling, Elsevier, vol. 129(C).
    16. Wolfgang Maennig, 2017. "Major Sports Events: Economic Impact," Working Papers 058, Chair for Economic Policy, University of Hamburg.

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    More about this item

    Keywords

    shrinking population; real estates; asymmetric price reactions; regional analysis;
    All these keywords.

    JEL classification:

    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand
    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets

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