scholarly journals International Real Estate Review

2010 ◽  
Vol 13 (2) ◽  
pp. 218-237
Author(s):  
Susan Wachter ◽  
Keyword(s):  
World War Ii ◽  
Real Estate ◽  
Interest Rates ◽  
Economic Cycles ◽  
Asset Bubbles ◽  
The Great Recession ◽  
The Great Depression ◽  
Data Points ◽  
Short And Long Term ◽  
The Right

The present period of financial instability is also likely to become known as the end of an era; an era of economic calm and policy consensus on ways to maintain market stability. After World War II, the federal government operated on the Keynesian principles that the right mix of spending, regulation, and interest rates could tame economic cycles and eliminate surges of unemployment. In this period, now known as the Great Moderation, we assumed that we knew how to prevent economic crises, such as the recurrence of the Great Depression. However, it is clear that those principles were erroneous as the economy has entered a lesser, but still severe downturn; the Great Recession. This paper looks at the sources of the ongoing economic crisis and points to the unique role in its origins of real estate asset bubbles and mispriced credit, not only in the origin of this crisis, but of many financial crises. An analysis of the data points to the role of mispriced mortgage backed securities (MBS) in the spread of aggressive mortgage products and the unwarranted price speculation that resulted in massive foreclosures. In turn, the paper addresses the source of mispriced risk in MBS as incomplete markets in real estate and non-tradability of MBS and related securities, which ultimately led to the collapse of financial system, threatening global economic health. The paper also suggests corrective measures that can and should be taken to assist the short and long term recovery.

On Gender, Labor, and Inequality

2016 ◽  
Author(s):  
Ruth Milkman
Keyword(s):  
World War Ii ◽  
Women Workers ◽  
Great Depression ◽  
The United States ◽  
Gender Inequalities ◽  
Women's Labor ◽  
The Great Recession ◽  
The Great Depression ◽  
And Gender ◽  
The Impact

The author's groundbreaking research in women's labor history has contributed important perspectives on work and unionism in the United States. This book presents four decades of the author's essential writings, tracing the parallel evolutions of her ideas and the field she helped define. The book's introduction frames a career-spanning scholarly project: the interrogation of historical and contemporary intersections of class and gender inequalities in the workplace, and the efforts to challenge those inequalities. Early chapters focus on the author's pioneering work on women's labor during the Great Depression and the World War II years. The book's second half turns to the past fifty years, a period that saw a dramatic decline in gender inequality even as growing class imbalances created greater-than-ever class disparity among women. The book concludes with a previously unpublished essay comparing the impact of the Great Depression and the Great Recession on women workers.

Right-of-way for Transmission Facilities as Regulation of Legal Relationships Regarding Real Estate between the Real Estate Owner and the Transmission Entity

2017 ◽  
Author(s):  
Anna Przewiezlikowska
Keyword(s):  
World War Ii ◽  
Real Estate ◽  
Legal Status ◽  
Real Property ◽  
The Real ◽  
The Real Estate ◽  
Right Of Way ◽  
Estate Owner ◽  
Construction Permit ◽  
The Right

In Poland, after World War II, most of the technical infrastructure was built based on a construction permit, and without a legal title to a given real property. Therefore, a necessity arose for the regulation of property rights where technical infrastructure was built. For the establishment of the right-of-way for transmission facilities it is essential to regulate the legal relationships between the owner of the real estate and the transmission entity and their entry into the land and mortgage register. The extent of the granted right-of-way determines the value of consideration for the owner of the encumbered property. This study analyzes the rules for the determination, establishment and surveying preparation of the right-of-way for various types of transmission facilities. First a thorough examination of the legal status of the real property was required and then the extent of the necessary right-of-way to be established for the given facilities was analyzed. The next stage of the study involved determining the extent of the rights-of-way and appropriate protective zones for the networks pursuant to the relevant technical guidelines. The analysis revealed significant diversity of legal regulations on the establishment of the right-of-way for the specific types of public utilities.

Business Cycles and Stabilization Policy

2020 ◽  
pp. 275-346
Author(s):  
Christopher Tsoukis
Keyword(s):  
World War Ii ◽  
Business Cycles ◽  
Dynamic Stochastic General Equilibrium ◽  
Real Business Cycle ◽  
Stabilization Policy ◽  
World War ◽  
Vector Autoregressions ◽  
The Great Recession ◽  
The Great Depression ◽  
Dynamic Stochastic

This chapter reviews the theory related to business cycles. After outlining early approaches (including the multiplier-accelerator interaction and Goodwin cycles), it proceeds to discuss the modern debates between New Classical/Real Business Cycle (RBC) theorists and New Keynesians. This discussion is structured at various levels: more intuitive and discursive, then more analytical with the development of a formal RBC model and of a Dynamic Stochastic General Equilibrium model that synthesizes the two approaches. The chapter continues with a review of Vector Autoregressions. Finally, a narrative of a number of episodes is offered: the Great Depression, post-World War II cycles, Japan, effects of oil on business cycles, and the Great Recession (2007–9) and the subsequent slow recovery. The overarching philosophy is that a suite of models, old and new, and approaches, modelling, econometric, and narrative, are useful in offering complementary perspectives.

scholarly journals Two Approaches to Examine the Impact of Different Credit Default Indicators on Real Estate Loans

2019 ◽  
Vol 7 (1) ◽  
pp. 190-215
Author(s):  
Reimar Pfalz
Keyword(s):  
Real Estate ◽  
Interest Rates ◽  
Secondary Data ◽  
Primary Data ◽  
Research Approach ◽  
The Great Depression ◽  
Default Rates ◽  
Credit Default ◽  
Macroeconomic Indicators ◽  
The Impact

Abstract Financing of real estates was a trigger of the largest financial crisis after the “Great Depression” from the early thirties in the last century. One of the main causes of this 2007 crisis was poor risk management in real estate financing. The aim of this paper is to examine the impact of different classes of indicators on credit default rates of real estate loans. Two research approaches should confirm a model that proves how strong the relationship is between different predictor variables such as interest rates, macroeconomic and individual indicators on the response variable of credit defaults. The first approach focuses on conducting descriptive and inferential experimental research by collecting secondary data in different markets and by analysing these data for correlations and linear regressions. The second approach is an expert survey of different banks to compare and complement the results of the first research approach. The research provides the evidence that individual indicators and macroeconomic indicators have a higher impact on credit defaults than interest rates. The scientific research on this theme has led to nearly the same results in different markets: the unemployment rate and thus personal conditions are the most responsible predictors for the credit defaults, also in different markets. The novelty of the present research is the proof that a banking survey with primary data on the causes of credit defaults confirms and complements the results of the secondary data analysis.

The Right of Acquisition: Options in Commercial Real Estate

2017 ◽  
pp. 1-10
Author(s):  
Craig Furfine ◽  
Mitchell Petersen
Keyword(s):  
Real Estate ◽  
Interest Rates ◽  
Real Options ◽  
Fair Value ◽  
Commercial Real Estate ◽  
List Type ◽  
Discounted Cash Flow ◽  
Real Options Theory ◽  
The Real Estate ◽  
The Right

In April 2012 Bill Nichols, a financial analyst at the real estate investment firm Koenig Capital, was about to enter a unique lease renegotiation. One of Koenig's tenants, Hasperat Inc., had sixteen years left on its long-term lease of the Kelley Building, a 165,000-square-foot office building in downtown Cleveland. The lease contained a clause giving Hasperat the option to buy the Kelley Building from Koenig. When Nichols tried to place a mortgage on the property to take advantage of low interest rates, he learned that the existence of this option in the lease contract prevented lenders from offering Koenig their lowest rates. As a result, Nichols had been tasked with renegotiating the lease to remove the option clause. This unexpected event offered Nichols the opportunity to use his financial skills. He needed to calculate the fair value of the purchase option to be able to justify to his superiors by how much they should compensate Hasperat. Students will step into the role of Bill Nichols and apply real options modeling techniques to value the purchase option in Hasperat's lease.After reading and analyzing the case, students will be able to: Apply real options theory to the valuation of a purchase option in a commercial real estate lease Identify the common mistakes in applying traditional discounted cash flow (DCF) analysis to financial problems with option components

How Workers and the Government Have Dealt with Economic Crisis and Industrial Decline

2017 ◽  
Author(s):  
Edward Montgomery
Keyword(s):  
Great Depression ◽  
Great Recession ◽  
The Great Recession ◽  
The Great Depression ◽  
Industrial Decline ◽  
The Face ◽  
Short And Long Term ◽  
Near Term ◽  
The Government

This chapter begins with a brief review of the evidence on the causes of the Great Depression and its impact on workers and their families. It examines some of the similarities and differences in the causes of the Great Recession and its impact on workers. It briefly summarizes some of the different policies that presidents Roosevelt and Obama enacted to shorten the crisis and ease the burden on workers. It argues that while presidents Roosevelt and Obama were both called “socialist” by critics, their similarities are limited, and both the short- and long-term impacts of the policies they enacted during these crises are quite different for workers. While the near-term impact of the Great Recession was dwarfed by the Great Depression, the Great Recession exacerbated long-term structural trends that may well leave workers facing far more uncertain futures. Workers' own relative passivity in the face of these dynamics contrasts sharply with their grandparents' generation during the Great Depression. Absent a revival of their activism, we may well see the continued erosion, or even the end, of the New Deal social contract.

Dignity Rights for a pandemic

2020 ◽  
pp. 174387212094451
Author(s):  
James R. May ◽  
Erin Daly
Keyword(s):  
World War Ii ◽  
Human Dignity ◽  
World Order ◽  
Well Being ◽  
The Body ◽  
Political Rights ◽  
Cultural Rights ◽  
The Great Depression ◽  
The Right ◽  
Right To Dignity

The concept of human dignity means, quite simply, that every person has inherent equal worth. This incontrovertible but profound concept is derived from the body of dignity law that has developed since the end of World War II at the international, regional, national, and subnational levels, where dignity has become the central axis around which law rotates. Both the UN Charter and the Universal Declaration of Human Rights confirm the foundational place of the recognition of human dignity in the building of the new postwar world order. Advancing human dignity also is a central premise of the binding International Covenant on Civil and Political Rights and International Covenant on Economic, Social and Cultural Rights, and virtually all subsequent instruments addressing human well-being. The right to dignity is guaranteed by the national constitutions of more than 160 countries. Further, courts around the globe have applied the right to dignity thousands of times in cases involving issues that matter everyday to everyday people, including involving poverty, employment, marriage, adoption, incarceration, education, safety, health, discrimination, immigration, and police brutality, and many more. The pandemic wrought by Covid-19 has tested the boundaries of dignity’s role under the of law. Millions are infected. Hundreds of thousands have died. Nations have closed their borders. People are quarantined, desparate, and desparing, leading to social and economic dislocation not seen since the Great Depression. This article highlights the normative and legal dimensions of dignity, and how taking account of dignity under law can improve outcomes during the pandemic. It theorizes that, while not a cure, recognizing dignity under law can be therapeutic in these troubling times.

scholarly journals International Real Estate Review

2018 ◽  
Vol 21 (1) ◽  
pp. 41-70
Author(s):  
Wong Weng Wong ◽  
◽  
Wejendra Reddy ◽  
Keyword(s):  
Asset Pricing ◽  
Real Estate ◽  
Interest Rates ◽  
Market Risk ◽  
Interest Rate Risk ◽  
Medium Size ◽  
Pricing Model ◽  
Asset Pricing Model ◽  
Short And Long Term

This study explores the sensitivity of the performance of Australian real estate investment trusts (A-REITs) to changes in short and long term interest rates. Based on the intertemporal capital asset pricing model in Merton (1973), we propose an asset pricing model that consists of market returns, macroeconomic indicators, and short and long term interest rates. The effect of market capitalisation is also explored. High debt funds show greater sensitivity to adverse movements in long term interest rates compared to low debt funds. This suggests that gearing levels play a significant role in the returns generating process. All size based portfolios exhibit strong exposure to market risk with medium size A-REITs displaying greater sensitivity to movements in both short and long term interest rates. Although market risk became a stronger driver of returns during the Global Financial Crisis (GFC), the impact was less prominent post-GFC possibly due to already low levels of interest which created an environment of cheap credit. The implications for asset allocation strategies are that portfolio managers and other investors can reduce exposure to interest rate risk by selecting funds with less leverage and are large in size. High debt funds benefit more during periods of low interest but this may be offset when there is a corresponding increase in long term interest rates.

scholarly journals What Do the Two Global Crises Tell us: History as a Mirror

2021 ◽  
Vol 9 (4) ◽  
pp. 250
Author(s):  
Banghao Ling
Keyword(s):  
Interest Rates ◽  
Banking System ◽  
Subprime Crisis ◽  
Key Factors ◽  
Private Debt ◽  
Public And Private ◽  
Credit Booms ◽  
The Great Recession ◽  
The Great Depression

<p>History typically does repeat with similar processes. Routes to both The Great Depression in 1929 and the Subprime Crisis (the Great Recession) in 2007 are similar: central banks implemented lax monetary policy and governments adopt populist policies to expand credit, economic growth drives public and private debt to increase sharply and asset illiquidity is caused due to the financial system's borrowing short-term funding to lend long-term loans for high profits. The key factors involved in both crises will be analysed from the following dimensions prior to the two crises: interest rates, credit booms, leverage and liquidity in the banking system. Human nature is one main reason to explain these crises. The primary cause of this phenomenon is that animal spirits such as confidence cannot be entirely eliminated, with significant subsequent effects upon the economy.</p>

The Second Red Scare and the Unmaking of the New Deal Left

2012 ◽  
Author(s):  
Landon R. Y. Storrs
Keyword(s):  
New Deal ◽  
Red Scare ◽  
Loyalty Program ◽  
Federal Employee ◽  
The Great Depression ◽  
Policy Ideas ◽  
Political Views ◽  
Consumer Movements ◽  
The Right ◽  
The New Deal

The loyalty investigations triggered by the Red Scare of the 1940s and 1950s marginalized many talented women and men who had entered government service during the Great Depression seeking to promote social democracy as a means to economic reform. Their influence over New Deal policymaking and their alliances with progressive labor and consumer movements elicited a powerful reaction from conservatives, who accused them of being subversives. This book draws on newly declassified records of the federal employee loyalty program—created in response to fears that Communists were infiltrating the U.S. government—to reveal how disloyalty charges were used to silence these New Dealers and discredit their policies. Because loyalty investigators rarely distinguished between Communists and other leftists, many noncommunist leftists were forced to leave government or deny their political views. This book finds that loyalty defendants were more numerous at higher ranks of the civil service than previously thought, and that many were women, or men with accomplished leftist wives. Uncovering a forceful left-feminist presence in the New Deal, the book shows how opponents on the Right exploited popular hostility to powerful women and their “effeminate” spouses. The loyalty program not only destroyed many promising careers, it prohibited discussion of social democratic policy ideas in government circles, narrowing the scope of political discourse to this day. This book demonstrates how the Second Red Scare undermined the reform potential of the New Deal and crippled the American welfare state.

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