2008•Urban StudiesRequires access

Demographic Change and the Housing Market: Evidence from a Comparison of Scotland and England

Eric J. Levin, Alberto Montagnoli, Robert E. Wright

Abstract

This paper examines the impact of demographic change on the housing market. More specifically, a difference-in-differences methodology is used to explore the effect of population decline and population ageing on house prices in Scotland and England/Wales. The analysis suggests that population decline and population ageing put downward pressure on prices. Therefore, the long-run trend of rising real house prices can not be assumed to continue into the future, particularly in Scotland.

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Key concepts: Demographic change, Population decline, Population ageing, House price, Population, Population pressure, Demographic economics, Population growth