Hicks-Tinbergen Award to Florian Sniekers for paper on housing markets
Espen R Moen and Plamen T Nenov, both of the Norwegian Business School, and Florian Sniekers of Tilburg School of Economics and Management are the winners of the Hicks-Tinbergen Award 2022. They receive the 2-yearly prize of the European Economic Association, a medal, for their article ‘Buying First or Selling First in Housing Markets, published in the Journal of European Economic Association.
According to the awarding committee: ‘This paper provides novel insights into the dynamics of house prices. It does so by modeling transaction sequences in housing markets with costly search. When housing prices rise, home switchers buy first and sell after. When housing prices fall, home switchers sell first and buy after. This leads to strategic complementarities in behavior, multiple steady state equilibria and large fluctuations in the supply and demand of housing, which can only be absorbed by prices given fixed housing stocks. The qualitative relevance of the novel mechanism is borne out in detailed Danish data that matches property-owner data for housing transactions. In emphasizing the role that the sequencing of housing transactions play, the paper makes a substantive contribution to macro and micro-orientated studies of housing markets.'
For more information, see eeassoc.org.