Relationship Between Rent and the Overall Economy in 21st Century California

Abstract

The primary purpose of this study is to probe the relationship between rent and economy and of the 21st-century California. The findings show a significant relationship between GDP and rent prices, underscoring the importance of economic prosperity in shaping the housing market. However, there were no statistically significant correlations between rent prices and the inflation rate (IR), vacancy rate (VR), or population growth (P). These findings emphasize the particular features of California's housing market, highlighting the need for specific policy interventions. This study adds to our understanding of the complex interplay between economic conditions and housing affordability, providing insights for policymakers and future localized investigations.