The most prominent were an oversized construction sector and strong wage and price increases despite a decline in average labour productivity owing to the inclusion of the eastern German economy.
12 The paper presented by Olympia Bover finds that the subjective expectations on house prices matter for predicting the spending behaviour of  8  L. Maccan, N. Rossi and I. Visco, “Saving and borrowing constraints”, in A. Ando, L. Guiso and I. Visco (eds), Saving and the Accumulation of Wealth.