University of Missouri
118 Professional Building
Columbia, MO 65211
Information about this author at RePEc
NBER Working Papers and Publications
|September 2017||Rural-Urban Migration, Structural Transformation, and Housing Markets in China|
with Carlos Garriga, Yang Tang, Ping Wang: w23819
This paper explores the contribution of the structural transformation and urbanization process to China's housing-market boom. Rural to urban migration together with regulated land supplies and developer entry restrictions can raise housing prices. This issue is examined using a multi-sector dynamic general-equilibrium model with migration and housing. Our quantitative findings suggest that this process accounts for about 80 percent of urban housing price changes. This mechanism remains valid in extensions calibrated to the two largest cities with most noticeable housing booms and to several alternative setups. Overall, supply factors and productivity account for most of the housing price growth.
|April 2017||Accounting for the Rise in College Tuition|
with Grey Gordon
in Education, Skills, and Technical Change: Implications for Future U.S. GDP Growth, Charles Hulten and Valerie Ramey, editors
|February 2016||Accounting for the Rise in College Tuition|
with Grey Gordon: w21967
We develop a quantitative model of higher education to test explanations for the steep rise in college tuition between 1987 and 2010. The framework extends the quality-maximizing college paradigm of Epple, Romano, Sarpca, and Sieg (2013) and embeds it in an incomplete markets, life-cycle environment. We measure how much changes in underlying costs, reforms to the Federal Student Loan Program (FSLP), and changes in the college earnings premium have caused tuition to increase. All these changes combined generate a 106% rise in net tuition between 1987 and 2010, which more than accounts for the 78% increase seen in the data. Changes in the FSLP alone generate a 102% tuition increase, and changes in the college premium generate a 24% increase. Our findings cast doubt on Baumol’s cost disease a...
Forthcoming: Accounting for the Rise in College Tuition, Grey Gordon, Aaron Hedlund. in Education, Skills, and Technical Change: Implications for Future U.S. GDP Growth, Hulten and Ramey. 2017