Using the following The Straits Times articles as a starting point show how the economics concepts can be applied to a contemporary economics issue.

A house for the millennial: Home prices a hot button issue for millennial voters https://www.straitstimes.com/asia/millennial-housing-property-election-issuesingapore

A house for the millennial: The dream to buy a home, even if it isn't a dream home https://www.straitstimes.com/asia/millennial-housing-property-affordability-costsingapore

Tight supply of homes to ease in 2023, price growth moderated after cooling measures: Desmond Lee https://www.straitstimes.com/singapore/housing/tight-supply-of-homes-to-ease-in2023-price-growth-moderated-after-cooling-measures-desmond-lee

Please use appropriate economics concepts from Topic 2 Market Forces Demand and Supply and Topic 3 The Theory of Individual Behaviour, with appropriate diagrams to support your analysis and discussion of the Singapore Property Market

Suggested Essay Structure

1. Introduction - Thesis statement. Brief summary or outline of the main topics/arguments/points made in the essay.

2. Present the time series data graph on Singapore property market such as HDB Resale Price Index (RPI) and Singapore SRX Property Price Index and discuss past and current trends in property prices.

3. Using the concepts of Community Indifference Curves and Community Budget Lines to represent various income groups in Singapore, discuss the relationships between new public housing (HDB BTO flats), resale public housing (resale HDB flats) and private housing (condominiums/landed property). How are new private and public HDB BTO property prices related to resale property prices?

4. Using demand and supply analysis to discuss the recent price increases in the resale HDB and private property market. Are the price increases concentrated in certain locations or are they broad base changes?

5. Discuss the recent government property market cooling measures and analyse their effectiveness in the short run. Illustrate your answers with demand and supply diagrams. Why did they work or did not work to moderate prices in the new and resale market?

6. Using demand and supply analysis to discuss the long run price trend in the resale HDB and private property market. You can draw what happened during previous housing bubbles and the impact of previous property cooling measures.

7. What are the implications of rising interest rates on housing affordability?

8. Conclusion - Restatement or summary of the main points made in the body paragraphs and comment on where you see the Singapore property market to be in the next few years. No new ideas are to be included in the conclusion. We do want to hear your opinions, based on sound reasoning and justifications on where the Singapore property market is going in the short and long run.