Homeownership and Portfolio Choice over the Generations†

• 成果类型: Article
• 署名作者: Paz-Pardo, Gonzalo
• 署名单位: European Central Bank
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MACROECONOMICS
• ISSN/ISSBN: 1945-7707
• DOI: 10.1257/mac.20200473
• 发表日期: 2024
• 页码: 207-237
• 关键词: house prices; consumption; earnings; STOCK; constraints; volatility; INEQUALITY; DYNAMICS; returns; GROWTH

摘要

Earnings are riskier and more unequal for households born in the 1960s and 1980s than for those born in the 1940s. Despite improvements in financial conditions, younger generations are less likely to be living in their own homes than older generations at the same age. By using a life cycle model with housing and portfolio choice that includes flexible earnings risk and aggregate asset price risk, I show that changes in earnings dynamics account for a large part of the reduction in homeownership across generations. Lower -income households find it harder to buy housing and, as a result, accumulate less wealth. (JEL D15, G51, J31, R21, R31)