01638cas a2200253 a 4500 AALejournalIMF006040 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451873504 1018-5941 BD-DhAAL BD-DhAAL Rabanal, Pau. The Drivers of Housing Cycles in Spain / Pau Rabanal, Oriol Aspachs-Bracons. Washington, D.C. : International Monetary Fund, 2009. 1 online resource (39 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Since Spain joined the EMU, two main important factors behind the housing boom appear to be the decrease of nominal interest rates and demographic factors. In this paper we estimate a New Keynesian model of a currency area, using data for Spain and the rest of the EMU to study the importance of those factors. We also examine the role of different rigidities and find that labor market frictions are crucial to explain main features of the data. On the other hand, financial frictions that impose a collateral constraint on borrowing do not appear to be relevant. Mode of access: Internet Aspachs-Bracons, Oriol. IMF Working Papers; Working Paper ; No. 2009/203 Full text available on IMF http://elibrary.imf.org/view/journals/001/2009/203/001.2009.issue-203-en.xml IMF e-Library