Working Paper: CEPR ID: DP7583
Authors: Kathrin Degen; Andreas M. Fischer
Abstract: This study examines the behavior of Swiss house prices to immigration flows for 85 districts from 2001 to 2006. The results show that the nexus between immigration and house prices holds even in an environment of low house price inflation and modest immigration flows. An immigration inflow equal to 1% of an area?s population is coincident with an increase in prices for single-family homes of about 2.7%: a result consistent with previous studies. The overall immigration effect for single-family houses captures almost two-thirds of the total price increase.
Keywords: house prices; immigration
JEL Codes: F22; J61; R21
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| Immigration inflow (F22) | House prices (R31) |
| Immigration inflow (F22) | Single-family home prices (R31) |
| Immigration inflow (F22) | Multifamily home prices (R31) |
| Immigration inflow (F22) | Condominium prices (R31) |
| House prices (R31) | Total price increase during study period (E30) |