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An Analysis on the Relationship between Media Coverage and Time-series Housing Prices
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언론보도와 시계열 주택가격 간의 관계에 관한 연구

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Type
Academic journal
Author
Journal
한국주택학회 주택연구 주택연구 제19권 제4호 KCI Accredited Journals
Published
2011.1
Pages
111 - 134 (24page)

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An Analysis on the Relationship between Media Coverage and Time-series Housing Prices
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Housing price reflects not only real economic trend but also expectation of market participants. One of the major factors affecting expectation of them is media coverage. If it is true, government housing policy should reach the point of considering media impact as well as the policy itself. Based on this, we tried to test hypothesis about the relationship between number of media coverage and housing price (rent) through Granger causality and impulse response analysis with the time-series data after reviewing relevant theories and empirical studies. We found that the number of media coverage about price increase of apartment in Kangnam area has Granger causality with housing prices of terraced house in Kangnam and Kangbook areas, and apartment in Mega-regions. Also, it has Granger causality with rent of terraced house in Seoul Metropolitan region and Mega-regions. From the analysis, we identified that media coverage may have partial negative impact on stabilizing housing price ceteris paribus and suggested that government should pay attention to ex ante consideration on agenda setting and framing of media to effectively prevent unwanted expansion of housing price increase initiated from Kangnam area.

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