Intratemporal nonseparability between housing and nondurable consumption: Evidence from reinvestment in housing stock

• 成果类型: Article
• 署名作者: Khorunzhina, Natalia
• 署名单位: Copenhagen Business School
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2020.04.001
• 发表日期: 2021
• 关键词: Intratemporal nonseparability; housing; Nondurable consumption

摘要

Using the data on maintenance expenditures and self-assessed house value, I separate the measure of individual housing stock and house prices, and use these data for testing whether nondurable consumption and housing are characterized by intratemporal nonseparability in households' preferences. I find evidence in favor of intratemporal dependence between total nondurable consumption and housing. My findings indicate the elasticity of intratemporal substitution between nondurable consumption and housing is higher than the elasticity of intertemporal substitution for composite consumption bundles. Moreover, assuming CES utility, my results are indicative about complementarity between nondurable consumption and housing in the intratemporal preferences. (C) 2020 Elsevier B.V. All rights reserved.