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dc.contributor.authorAnundsen, André K.
dc.contributor.authorLarsen, Erling Røed
dc.date.accessioned2018-04-24T12:24:47Z
dc.date.available2018-04-24T12:24:47Z
dc.date.issued2016
dc.identifier.isbn978-82-7553-628-8
dc.identifier.issn1502-8143
dc.identifier.urihttp://hdl.handle.net/11250/2495728
dc.description.abstractWhile aggregate house price indices display time persistence, less is known about micro persistence. This article proposes that absence of micro persistence implies that an excessively high or low sell price in one transaction is not repeated in the next transaction. We exploit a unique Norwegian data set of publically registered housing transactions between 2002 and 2014 and follow housing units over time to see if excessive prices persist or revert. In a regression with time and unit-fixed effects of sell-price-to-predicted-price ratios on previous sell-price-to-predicted-price ratios, we reject persistence and find substantial reversion. We also test for possible arbitrage opportunities in the form of excess returns. Once we control for price increases that are due to home improvements, we document that there is little scope for profitable arbitrage in excess of the market return. The overall impression is that the Norwegian housing market is relatively micro efficient.nb_NO
dc.language.isoengnb_NO
dc.publisherNorges Banknb_NO
dc.relation.ispartofseriesWorking Papers;6/2016
dc.rightsAttribution-NonCommercial-NoDerivatives 4.0 Internasjonal*
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/4.0/deed.no*
dc.subjectJEL: R31nb_NO
dc.subjectJEL: D12nb_NO
dc.subjectJEL: D44nb_NO
dc.subjectJEL: C21nb_NO
dc.subjectarbitragenb_NO
dc.subjecthousing marketnb_NO
dc.subjectmicro efficiencynb_NO
dc.subjectpersistencenb_NO
dc.subjectrepeat salesnb_NO
dc.titleTesting for Micro Efficiency in the Housing Marketnb_NO
dc.typeWorking papernb_NO
dc.description.versionpublishedVersionnb_NO
dc.subject.nsiVDP::Samfunnsvitenskap: 200::Økonomi: 210::Samfunnsøkonomi: 212nb_NO
dc.source.pagenumber27nb_NO


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Attribution-NonCommercial-NoDerivatives 4.0 Internasjonal
Except where otherwise noted, this item's license is described as Attribution-NonCommercial-NoDerivatives 4.0 Internasjonal