Managing the bias variance trade-off in regional house price indices

Fabrice Kreuzbichler, Wolfgang Brunauer, Karin Wagner and Ronald Weberndorfer

ERES from European Real Estate Society (ERES)

Abstract: The Austrian Central Bank (OeNB) has been publishing the Austrian residential property price index for many years now. Several years ago, there has been a change in the underlying methodology, from the “dummy method” to a “double imputation method”. While with the former approach, the regionalization of the index had been bound to the model regions (as it is derived from an evaluation of model parameters), the new methodology allows for arbitrary granularization. Now we explore methods for regionalization, and their impact on the bias-variance trade-off. Furthermore, we investigate the possible impact on the construction of early warning systems for the Austrian housing markets, which can in turn be used for systemic risk analyses.

Keywords: Bias variance trade-off; Double Imputation; Price Index; regionalization (search for similar items in EconPapers)
JEL-codes: R3 (search for similar items in EconPapers)
Date: 2024-01-01
New Economics Papers: this item is included in nep-ure
References: Add references at CitEc
Citations:

Downloads: (external link)
https://eres.architexturez.net/doc/oai-eres-id-eres2024-174 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:arz:wpaper:eres2024-174

Access Statistics for this paper

More papers in ERES from European Real Estate Society (ERES) Contact information at EDIRC.
Bibliographic data for series maintained by Architexturez Imprints ().