Job Security and Housing Credits

Job Security and Housing Credits


Job Security and Housing Credits




Kurmaş Akdoğan, Ayşe Tatar, Ayşe Arzu Yavuz




September 2016


This paper is concerned with the relationship between employment security and housing credits. It is argued that higher employment protection might result in higher demand for housing due to its mitigating impact on the uncertainty about the future income stream of the workers. The results of the empirical analysis using yearly data for 23 countries from 1990 to 2013 suggest a positive relationship between job security and housing credits at the aggregate level. This evidence emphasizes potential negative effects of reducing job protection on aggregate demand. Moreover, considering the propagation mechanism linked with housing demand, this negative impact could be higher and longer than expected.


Labour markets, Job security, Credit demand, Panel data

JEL Codes:

C23; J28; J65; R21

Job Security and Housing Credits
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