A probabilistic approach to the structure of rental housing markets |
| |
Authors: | Alex Anas |
| |
Institution: | Urban and Regional Planning Program, Northwestern University, Evanston, Illinois 60201 USA |
| |
Abstract: | A probabilistic view of the structure of urban housing markets is developed. The demand side is based on aggregate probabilistic demand functions derived from microbehavioral random utility theory. The supply side examines the short-run pricing of the housing stock by developing “asking rent theory,” which explains how a housing supplier must find the optimal rent that maximizes expected revenue. Next, concepts of aggregate market clearing and market equilibrium are defined. Finally, a two-submarket model with specific assumptions regarding the representation of demand and the nature of market signaling is examined in detail and is given a graphical illustration. In closing, directions for extending the probabilistic approach both within and beyond urban analysis are pointed out. All analysis in this paper is for a stationary urban economy, with the housing stock assumed fixed. |
| |
Keywords: | |
本文献已被 ScienceDirect 等数据库收录! |
|