Capital controls and macro-prudential housing policies in small open economies

• Main Authors: XIE, Taojun, LIM, Guay C., CHOW, Hwee Kwan
• Format: text
• Language: English
• Published: Institutional Knowledge at Singapore Management University 2020
• Subjects: macro-prudential policy; housing; foreign investment; dynamic stochastic general equilibrium model; small open economy; Macroeconomics; Real Estate
• Online Access: https://ink.library.smu.edu.sg/soe_research/2476; https://ink.library.smu.edu.sg/context/soe_research/article/3475/viewcontent/Capital_Controls_Housing_202009_wp.pdf
• Institution: Singapore Management University

We evaluate the effects of capital controls and macro-prudential policies in small open economies with a housing sector that is open to foreign ownership. The work is motivated by concerns that foreign investments also respond to housing investment opportunities resulting in potential house price in...