Nonlinear delay difference equations for housing dynamics assuming heterogeneous backward-looking expectations

作     者：梁以德 徐佳娜 崔詠芯 

作者机构：Department of Building and ConstructionCity University of Hong KongChina 

出 版 物：《Applied Mathematics and Mechanics(English Edition)》 (应用数学和力学（英文版）)

年 卷 期：2007年第28卷第6期

页      面：785-798页

核心收录：

学科分类：07[理学] 070104[理学-应用数学] 0805[工学-材料科学与工程（可授工学、理学学位）] 0802[工学-机械工程] 070102[理学-计算数学] 0701[理学-数学] 0801[工学-力学（可授工学、理学学位）] 

主　　题：housing price dynamics delay rational difference equations equilibrium and oscillations convergent and divergent overshoot and undershoot 

摘      要：China＇s first interest rate hike during the last decade, aiming to cool down the seemingly overheated real estate market, had aroused more caution on housing market. This paper aims to analyze the housing price dynamics after an unanticipated economic shock, which was believed to have similar properties with the backward-looking expecta- tion models. The analysis of the housing price dynamics is based on the cobweb model with a simple user cost affected demand and a stock-flow supply assumption. Several nth- order delay rational difference equations are set up to illustrate the properties of housing dynamics phenomena, such as the equilibrium or oscillations, overshoot or undershoot and convergent or divergent, for a kind of heterogeneous backward-looking expectation models. The results show that demand elasticity is less than supply elasticity is not a necessary condition for the occurrence of oscillation. The housing price dynamics will vary substantially with the heterogeneous backward-looking expectation assumption and some other endogenous factors.