The Housing Cycle Theory - Printable Version

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The Housing Cycle Theory - Pramod Gupta - 11-07-2014

The Housing Cycle Theory

Drawing heavily on numerous research attempts to explain the behavior of the housing market, Needleman argued that the consecutive stages of the housing market tend to be cyclic in nature. To do this, he first chose the vacancy ratio as a convenient measure for the intensity of housing utilization. He then illustrated the relationship between the number of vacancies and the level of house prices in a way that would demonstrate what he called "the housing cycle".

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