dc.contributor.author |
Inglesi-Lotz, Roula
|
|
dc.contributor.author |
Gupta, Rangan
|
|
dc.date.accessioned |
2014-06-11T05:49:30Z |
|
dc.date.issued |
2013 |
|
dc.description.abstract |
This paper investigates whether house prices provide a suitable hedge against inflation in South Africa by analysing the long-run relationship between house prices and the prices of non-housing goods and services. Quarterly data series are collected for the luxury, large middle-segment, medium middle-segment, small middle-segment and the entire middle segment of house prices, as well as, the consumer price index excluding housing costs for the period 1970:Q1–2011:Q1. Based on autoregressive distributed lag (ARDL) models, the empirical results indicate long-run cointegration between the house prices of all the segments and the consumer price index excluding housing costs. Moreover, the long-run elasticity of house prices with respect to prices of non-housing goods and services, i.e., the Fisher coefficient is greater than one for the luxury segment, virtually equal to one for the small middle-segment, and less than one for the large and medium middle-segments, as well as the affordable segments. More importantly though, the estimated Fisher coefficients are not statistically different from unity – a result consistent with the proposed theoretical framework relating housing prices and consumer prices excluding housing expenditure. In general, we infer that house prices in South Africa provide a stable inflation hedge in the long-run. |
en_US |
dc.description.librarian |
hj2014 |
en_US |
dc.description.uri |
http://www.tandfonline.com/loi/tspm20 |
en_US |
dc.identifier.citation |
Inglesi-Lotz, R & Gupta, R 2013, 'The long-run relationship between house prices and inflation in South Africa: an ARDL approach', International Journal of Strategic Property Management, vol. 17, no. 2, pp. 188-198. |
en_US |
dc.identifier.issn |
1648-715X (print) |
|
dc.identifier.issn |
1648-9179 (online) |
|
dc.identifier.other |
10.3846/1648715X.2013.807400 |
|
dc.identifier.uri |
http://hdl.handle.net/2263/40102 |
|
dc.language.iso |
en |
en_US |
dc.publisher |
Taylor and Francis |
en_US |
dc.rights |
© Taylor and Francis. This is an electronic version of an article published in International Journal of Strategic Property Management, vol. 17, no. 2, pp.188-198, 2013. doi : 10.3846/1648715X.2013.807400. International Journal of Strategic Property Managementis available online at : http://www.tandfonline.com/loi/tspm20. |
en_US |
dc.subject |
House prices |
en_US |
dc.subject |
Inflation |
en_US |
dc.subject |
South Africa (SA) |
en_US |
dc.title |
The long-run relationship between house prices and inflation in South Africa : an ARDL approach |
en_US |
dc.type |
Postprint Article |
en_US |