Advanced Economic Seminars 163:The English Housing Market Mechanism

Publisher: Time:2016-12-05 15:43:00

Topic: The English Housing Market Mechanism

Lecturer:JU Yuan, the University of York

Time: 03:30pm-05:00pm, Dec.7(Wed),  2016

Venue: B423, Zhixin Building

Abstract:  This paper introduces a model of typical English housing markets. In such markets, there are many first time buyers, movers, and sellers. Due to financial constraint, most homeowners who wish to move are dependent on the sale of their current house. A crucial feature of the market is that agents may simultaneously have two different types of preferences: buying and selling. We formulate this problem as a general n-person non-transferable utility game and establish the existence of core allocations, i.e., those outcomes of the market that no coalition can improve upon. A mechanism to find a core allocation is proposed, which can improve potential gains of trade considerably in comparison with those used in real life.