Paul Flatau, Patric Hendershott, Richard Watson and Gavin Wood report on the development of an integrated model of the housing system that incorporates the broad range of drivers that influence the housing market, including the role of aspirations, household formation, economic incentives and labour market interactions.

Most housing policies directly or indirectly impact on the price that households pay for housing. This research has the aim of constructing a microsimulation model that is capable of measuring the impact of Commonwealth and State government housing programs on the prices that households pay for housing, and the subsidies they receive.