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While CNN.com closely collaborates with technology companies like Facebook, Apple or Google, the New York Times anticipates technical change in-house with the help of its research and development department.
They found that changes in housing wealth, by changing permanent income, impacted consumption, but by a significantly smaller degree than non-housing wealth.Eva Sierminska and Yelena Takhtamanova at the San Francisco Fed found changes in housing wealth impact consumption even more than other forms of wealth.
To examine changes in house prices in 20 countries over time, click here.
No one is sure just how responsive consumer spending is to changes in house prices.
Tell us how changes in house prices have affected your life.
Consequently, changes in house prices tend to have a bigger effect on spending patterns than changes in the stock market.
The MPC is mainly concerned about the value-weighted change in house-prices since this is the best guide to changes in housing wealth which in turn feed through to consumer spending.
They may also spend more, but this extra consumption would not be caused by changes in housing wealth.
Look back over the decades, say economists at Deutsche Bank, and changes in house prices have been closely related to changes in disposable income.
"We've got the benefit changes affecting patients and so too the increase in prices for things and also the changes in housing benefit.
He also defended the measure as reflecting housing costs, without being clouded by changes in house prices – something that would reflect asset prices not goods and services prices.
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