TY  - RPRT
        AU  - Koeniger, Winfried
AU  - Ramelet, Marc-Antoine
        TI  - Home Ownership and Monetary Policy Transmission
        PY  - 2018/Nov/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 11950
        UR  - https://www.iza.org/publications/dp11950
        AB  - We present empirical evidence on the heterogeneity in monetary policy transmission across countries with different home ownership rates. We use household-level data together with shocks to the policy rate identified from high-frequency data. We find that housing tenure reacts more strongly to unexpected changes in the policy rate in Germany and Switzerland - the OECD countries with the lowest home ownership rates - compared with existing evidence for the U.S. An unexpected decrease in the policy rate by 25 basis points increases the home ownership rate by 0.8 percentage points in Germany and by 0.6 percentage points in Switzerland. The response of non-housing consumption in Switzerland is less heterogeneous across renters and mortgagors, and has a different pattern across age groups than in the U.S. We discuss economic explanations for these findings and implications for monetary policy. 
        KW  - housing tenure
KW  - home ownership
KW  - monetary policy transmission
KW  - consumption
        ER  -