A HOUSING SUPPLY FUNCTION FOR IRAN

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MOOSAVI S.; KHALILI ARAGHI S.M.

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Journal: Journal of Economic Research Year:2001 | Volume:- | Issue:57 Page(s): 1-29

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Information Journal Paper

Title

A HOUSING SUPPLY FUNCTION FOR IRAN

Author(s)

MOOSAVI S. | KHALILI ARAGHI S.M. | Issue Writer Certificate

Keywords

HOUSINGQ2

LUCAS SUPPLY THEORYQ4

INTERNAL ADJUSTMENT COSTSQ4

MARGINAL COST OF INVESTMENTQ4

HOUSING SECTOR CREDITQ4

Abstract

A HOUSING supply function for private sector has been estimated for the period of 1985-1999. The model was ,specified, using LUCAS SUPPLY THEORY and by including INTERNAL ADJUSTMENT COSTS in producer"s decision for production or investment. The distinctive feature of this model is the utilization of investment role in HOUSING sector similar to other factors in production function. The results indicate that the supply of that period was more subject to two main factors,i.e. HOUSING prices and opportunity costs. The price elasticity of HOUSING supply and the elasticity of HOUSING supply with respect to opportunity cost have been calculated as 3.96 and - 3.5 respectively. The low sensitivity of supply with respect to other factors such as wages, may be explained as due to relatively low growth of wages compared to the growth of general price level and HOUSING prices and high supply of unskilled workers. The low elasticity of HOUSING supply with respect to financial credit is due to insufficient ceiling of financial credit compared to the cost of purchasing and production of HOUSING.

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APA: Copy

MOOSAVI, S., & KHALILI ARAGHI, S.M.. (2001). A HOUSING SUPPLY FUNCTION FOR IRAN. TAHGHIGHAT-E-EGHTESADI, -(57), 1-29. SID. https://sid.ir/paper/11744/en

Vancouver: Copy

MOOSAVI S., KHALILI ARAGHI S.M.. A HOUSING SUPPLY FUNCTION FOR IRAN. TAHGHIGHAT-E-EGHTESADI[Internet]. 2001;-(57):1-29. Available from: https://sid.ir/paper/11744/en

IEEE: Copy

S. MOOSAVI, and S.M. KHALILI ARAGHI, “A HOUSING SUPPLY FUNCTION FOR IRAN,” TAHGHIGHAT-E-EGHTESADI, vol. -, no. 57, pp. 1–29, 2001, [Online]. Available: https://sid.ir/paper/11744/en

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