Life-cycle portfolio choice models capture the role of human capital, housing, borrowing
constraints, background risk, and several other crucial ingredients for determining the …

Household financial decisions are complex, interdependent, and heterogeneous, and
central to the functioning of the financial system. We present an overview of the rapidly …

In this chapter, we review and discuss the large body of research that has developed over
the past 10-plus years that explores the interconnection of macroeconomics, finance, and …

There are already many good textbooks on financial markets and investments with the book
by Bodie, Kane, and Marcus (2014) as a popular and excellent example. This book …

We derive explicit solutions to life-cycle utility maximization problems involving stock and
bond investment, perishable consumption, and the rental and ownership of residential real …

The stock market participation rate among homeowners is twice as high as among renters.
This paper builds a life-cycle portfolio choice model with endogenous housing tenure …

A life-cycle model is developed in which households face income and house-price risk and
buy houses with mortgages. This model, which accounts for key features in US data, is used …

In this paper, we quantify the effects of the recent increase in the housing loan‐to‐value ratio
(LTV) on the monetary transmission mechanism. We set up a two‐sector dynamic stochastic …

What explains the rapidly increasing housing investment demand in China? To address this
question, we develop an analytical framework featuring how expected capital gains impact …

The homeownership in China has witnessed a sharp growth during the last two decades
even though the increasing housing price has brought challenges to housing affordability …