The study looked at how monetary policy and other factors affect the housing market in Australia from 1974 to 2008. By using a special model, the researchers found that when real house prices go up, more new houses are built. They also discovered that house prices go up when inflation rates rise, but fall when interest rates go up. The study showed that changes in monetary policy have a big impact on new house construction, house prices, material costs, and inflation. The results suggest that housing output, house prices, and interest rates are influenced by changes in housing supply, housing demand, and other factors. These findings can help policymakers make decisions about the Australian housing market.