Can rediscount rates control house price? Evidence from Taiwan

Abstract

The purpose of this paper is to investigate whether rediscount rate can be an efficient monetary policy tool to control the prices of new houses in Taiwan during 2000 to 2014 I find that the relationship between rediscount rate and house price index is positive and significant The relationship between rediscount rates and house price index is also positive in individual cities including Taipei Xinbei Taoyuan Hsinchu Taichung Tainan and Kaohsiung Consequently rediscount rates may not be an efficient monetary policy tool to control house price

Date of Award	2015 Jul 7
Original language	English
Supervisor	Ping-Hsun Huang (Supervisor)