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Housing Inventory Change and the Role of Existing Structures, 1961–1985
Author(s) -
Hendershott Patric H.,
Smith Marc T.
Publication year - 1988
Publication title -
real estate economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.064
H-Index - 61
eISSN - 1540-6229
pISSN - 1080-8620
DOI - 10.1111/1540-6229.00461
Subject(s) - net (polyhedron) , set (abstract data type) , economics , econometrics , period (music) , demographic economics , mathematics , computer science , geometry , physics , acoustics , programming language
This paper makes two contributions. First, an internally consistent annual data set is constructed for the housing‐units identity. For the 1961–85 period, data are computed for completions, mobile home placements, the change in households, the change in vacancies, and, residually, net other additions (non‐new construction additions less losses). Our computed net other additions data for 1974 to 1980 are shown to be comparable to those implicit in the Annual Housing Survey data. Second, evidence is provided that net other additions play a major role in the short‐run equilibration of the demand and supply for housing units. Our evidence suggests that, on average, a surge in household formations is half satisfied by reduced losses or non‐new construction additions during the concurrent year.