Confronting information asymmetries: Evidence from real estate markets

• 成果类型: Article
• 署名作者: Garmaise, MJ; Moskowitz, TJ
• 署名单位: University of California System; University of California Los Angeles; National Bureau of Economic Research
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhg037
• 发表日期: 2004
• 页码: 405
• 关键词: capital structure; pecking order; estimator; uncertainty; selection; TRADE

摘要

There are relatively few direct tests of the economic effects of asymmetric information because of the difficulty in identifying exogenous information measures. We propose a novel exogenous measure of information based on the quality of property tax assessments in different regions and apply this to the U.S. commercial real estate market. We find strong evidence that information considerations are significant. Market participants resolve information asymmetries by purchasing nearby properties, trading properties with long income histories, and avoiding transactions with informed professional brokers. The evidence that the choice of financing is used to address information concerns is mixed and weak.