Japan FSA research center publishes English discussion paper on housing and macroprudential policy

The paper presents a model analyzing links between the housing market, the financial system and the economy, and examines macroprudential policy based on that framework.

Summary

Japan’s Financial Services Agency research center published an English-language discussion paper as a research output by its research officials. The paper, titled “Construction of a model to analyze the relationship between the housing market and the financial system and economy, and analysis of macro-prudential policy based on the model,” focuses on how housing-market dynamics connect with the financial system and the broader economy, and uses that model to study macroprudential policy (financial stability policy for system-wide risks).

Terms & Concepts
  • macroprudential policy: Financial stability policy targeting system-wide risks
  • housing market: Market for buying, selling, and financing homes
  • financial system: Institutions and markets that channel money and credit