Research and Studies
Feature Articles and Working Papers
Topical researches and analyses on economic matters related to Hong Kong
22 February 2023
More on Feature Articles and Working Papers
Economic Letters
Articles on various economic topics, written by economists from the Office of the Government Economist
18 November 2022
- Residential property prices and consumer price inflation in Hong Kong (PDF)
James P Vere
This article examines the relationship between residential property prices and consumer price inflation in Hong Kong with quarterly data from 1984 to 2021. In principle, as private residential property prices are asset prices, they should move in advance of private housing rents and may be correlated with other types of expenditures as well. Results from a vector error correction model show that, in the long run, movements in private residential property prices are fully reflected in the private housing rental component of Hong Kong's Composite Consumer Price Index (CCPI). The long-run elasticity of overall consumer prices with respect to private residential property prices is about 0.6.
26 August 2022
- Disentangling wages and consumer price inflation in Hong Kong (PDF)
James P Vere
This article explores the relationship between nominal wages and consumer prices in Hong Kong with quarterly data from 1984 to 2021. As predicted by theory, consumer prices and productivity-adjusted nominal wages track each other over the long term. In the short term, Granger causality tests and a differenced vector autoregression model show that consumer prices tend to respond more quickly to external economic shocks. Consequently, over the past few decades, consumer prices have been a leading indicator of productivity-adjusted nominal wages.
Major Supportive Works
Analysis and research support to the works of various Government committees / working groups / task forces provided by the Office of the Government Economist
More on Major Supportive Works