I Ladies and gentlemen, Given the pace of developments in the financial markets, any attempt to describe the emerging face of European banking can only mean providing an appraisal of major current trends and specifying the driving forces in the foreseeable future.
There is an interesting new research study contained in this Report which explores the role of interest rates and disposable income in determining house prices. While, as with all such estimations the results are not necessarily definitive, the study suggests that these variables largely accounted for increases in house prices over the sample period 1980 to 2005.