Must Agreements Be Kept? Residential Leases During Covid-19

A-Tier
Journal: Economic Journal
Year: 2023
Volume: 133
Issue: 649
Pages: 477-492

Authors (4)

Score contribution per author:

1.005 = (α=2.01 / 4 authors) × 2.0x A-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We study residential lease payments during the COVID-19 pandemic. A survey of Israeli renters shows that nearly one in eight did not pay full rent during the first lockdown in March–April 2020. These households held back two-thirds of their contractually due rent on average. Financially fragile households with large income cuts withheld a greater share. Both formal and relational aspects of the landlord-tenant relationship affected payments: tenants paid more of their rent if their leases included formal provisions against non-payment, and less if they had strong relationships with their landlords. We use bargaining and relational contract theories to explain our findings.

Technical Details

RePEc Handle
repec:oup:econjl:v:133:y:2023:i:649:p:477-492.
Journal Field
General
Author Count
4
Added to Database
2026-01-25