Working Paper: CEPR ID: DP16083
Authors: William Goetzmann; Christophe Spaenjers; Stijn Van Nieuwerburgh
Abstract: Real and private-value assets—defined here as the sum of real estate, infrastructure, collectibles, and noncorporate business equity—compose an investment class worth an estimated $84 trillion in the U.S. alone. Furthermore, private values can affect pricing in many otherfinancial markets, such as that for sustainable investments. This paper introduces the research on real assets and private values that can be found in this special issue. It also reviews recent advances and highlights new research directions on a number of topics in the real assets space that we believe to be particularly important and exciting.
Keywords: real estate; art; infrastructure; private business; wealth
JEL Codes: G11; G12; G41; R31; R33; Z11
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| private values (D46) | market prices (P22) |
| heterogeneity in private values (D89) | transaction prices (P22) |
| private preferences (D11) | price dynamics (E30) |
| beliefs about future market conditions (D84) | price dynamics (E30) |