Optimal House Acquisition with Stochastic Income

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主讲人	Shaofeng Xu	简介	<p>This paper studies the impact of idiosyncratic income risk on the consumption-saving decision of a risk-averse household who chooses both the time and size of house acquisition. I derive a closed-form solution for an optimal control-stopping problem characterizing the housing tenure problem. It is found that the timing flexibility of homeownership enables the household to use her saving for home purchase to buffer her non-housing consumption against income shocks. The model offers an explanation for the excess smoothness of consumption as well as the negative relationship between income uncertainty and homeownership as documented in data.</p>
时间	2017-06-01(Thursday)16:40-18:00	地点	N303, Econ Building
讲座语言	English	主办单位	WISE&SOE
承办单位		类型	系列讲座
联系人信息		主持人	Mengling Li
专题网站		专题
主讲人简介	<p>Shaofeng Xu is a Senior Economist in the Monetary Policy and Financial Studies Division of the Canadian Economic Analysis Department. He holds Ph.D. in Economics from the University of California at Davis.is research interests include macroeconomics, financial economics, and housing economics.</p> <div>Please see more at&nbsp;<a href="http://www.bankofcanada.ca/profile/shaofeng-xu/">http://www.bankofcanada.ca/profile/shaofeng-xu/</a>.</div>	期数	高级经济学系列讲座2017春季学期第十一讲（总第388讲）

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