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Published on: August 8, 2014
Housing market bubbles and urban resilience: Applying systems theory
Bilal Ayub1, Nader Naderpajouh1, Frank Boukamp1
1School of Property, Construction and Project Management, College of Design and Social Context, RMIT University, GPO Box 2476, Melbourne, Victoria 3001, Australia.
Abstract:
In this paper, we aim to connect the academic discourses of housing market and urban resilience. For this purpose, we discussed the housing market and its performance within the broader housing system, with a specific attention to the transient state of the housing market bubble. Through a systematic literature review, the housing system is framed based on the involved actors and their interactions. This systems theory based view is then used to provide a broader definition of the variations in the market performance within the urban resilience literature. In this sense, the theoretical underpinning of the literature of resilience within the systems and the observed variations in the housing market performance is discussed in view of shocks and stressors to the system, as well as equilibria and responses to disturbances. The aim is to provide a foundation for an alternative theoretical framework that focuses on interactions within the market and can be used to understand the impact of the housing market's financial drivers on urban resilience.
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