Main content

Three Essays on Canadian Housing Markets and Electricity Market

Show simple item record

dc.contributor.advisor Sun, Yiguo
dc.contributor.advisor Stengos, Thanasis
dc.contributor.author Zhang, Yuan
dc.date.accessioned 2017-05-16T18:22:34Z
dc.date.available 2017-05-16T18:22:34Z
dc.date.copyright 2017-05
dc.date.created 2016-12-16
dc.date.issued 2017-05-16
dc.identifier.uri http://hdl.handle.net/10214/10471
dc.description.abstract This thesis includes three empirical applications: spatial dynamic panel data model on Canadian housing market, impulse responses of Canadian housing market, and emission reductions of wind powered electricity in Ontario. Chapter 1 studies the spatial dependence of residential resale housing returns in 10 major Canadian Census Metropolitan areas (CMA) from 1992Q4 to 2012Q4 and makes the following methodological contributions. Firstly, in the context of a spatial dynamic panel data model we use grid search to derive the appropriate spatial weight matrix W among different possible specifications. We select the compound W with the minimum root mean squared error formed by geographical distances and the GDP levels. We further offer an interpretation of the selected W that is directly linked to the definition of the Arrow-Pratt risk aversion parameter. Secondly, contrary to common practice in the literature, we decompose our parameter estimates into direct and indirect effects and we proceed to derive and plot the impulse response functions of housing returns to external shocks. The empirical results suggest that Canadian residential housing markets exhibit statistically significant spatial dependence and spatial autocorrelation and both geographical distances and economic closeness are the dominant channels. Furthermore, in Chapter 2, we calculate impulse response functions and plot in 2-D and 3-D figures, and we find that special feature of the Canadian housing market is, as seen from the impulse response functions, that the responses to shocks do not spread widely across regions and that they fade fast over time. In Chapter 3, We use electricity output of 151 generators in seven fuel sources in year 2010, including nuclear, coal, natural gas, hydroelectric, oil/gas, wind, and wood waste/biomass, and aim to find out how wind energy affect the production of other power sources. We use three different models to estimate the marginal effects of wind powered generators on other fuel sources. The contribution of wind energy to the Ontario’s mixed electricity supply system in terms of decreasing the electricity production mainly from coal, natural gas and hydroelectric generators, and reducing the air pollutant (CO2, SO2, and NOx) emissions. When wind generators produce one MW per hour, the marginal effects from other fuel sources is replaced less than one MW. Due to instability of the wind power, the backup power is needed. The backup generators are usually thermal generators that emit air pollutants, and the fuel uses are larger than they operate at a steadily power level, which is so called “emission bias”. Therefore, this makes the net marginal effects and emission reduction less than expected. en_US
dc.language.iso en en_US
dc.rights Attribution-NonCommercial-NoDerivs 2.5 Canada *
dc.rights.uri http://creativecommons.org/licenses/by-nc-nd/2.5/ca/ *
dc.subject Seasonal ARIMAX model en_US
dc.subject Spatial dependence en_US
dc.subject Spatial dynamic panel data model en_US
dc.subject Spatial weight matrix W en_US
dc.subject Emissions reduction en_US
dc.subject Wind energy en_US
dc.subject Canadian residential housing returns en_US
dc.subject Ontario wind electricity en_US
dc.title Three Essays on Canadian Housing Markets and Electricity Market en_US
dc.type Thesis en_US
dc.degree.programme Economics en_US
dc.degree.name Doctor of Philosophy en_US
dc.degree.department Department of Economics and Finance en_US


Files in this item

Files Size Format View Description
Zhang_Yuan_201705_Phd.pdf 3.698Mb PDF View/Open Thesis

This item appears in the following Collection(s)

Show simple item record

Attribution-NonCommercial-NoDerivs 2.5 Canada Except where otherwise noted, this item's license is described as Attribution-NonCommercial-NoDerivs 2.5 Canada