Advanced Search
MyIDEAS: Login to save this article or follow this journal

Why Are Low-Income Households Paying Increasingly High Rents? The Effect of Housing Benefit in France (1973-2002)


Author Info

  • Gabrielle Fack



Since the late 1970s, means-based rent assistance has become the main housing policy instrument to the detriment of building subsidies. Yet the development of this assistance has gone hand in hand with an increase in the cost of housing for the most disadvantaged tenant households. We seek to evaluate the impact of this on the increase in rents for low-income households. The early-1990s reform of the extension of assistance constitutes a natural experiment whereby the effects of housing benefits can be isolated, since it was applied solely to certain types of households and not others. We use data from the INSEE Housing surveys to show that the assistance could well have a lot to do with the increase in rents per square metre for low-income households. The estimates obtained show that 50% to 80% of the housing benefit received by these households has been absorbed by increases in their rents.

Download Info

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
File URL:
Download Restriction: no

Bibliographic Info

Article provided by Institut National de la Statistique et des Etudes Economiques in its journal Economie et Statistique.

Volume (Year): 381-382 (2005)
Issue (Month): (October)
Pages: 17-40

as in new window
Handle: RePEc:crs:ecosta:es381-382b

Contact details of provider:
Postal: 18 Boulevard Adolphe Pinard, 75675 Paris Cedex 14
Phone: 01 41 17 50 50
Web page:
More information through EDIRC

Related research

Keywords: Housing Benefit; Subsidy Incidence;

Find related papers by JEL classification:


References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
as in new window
  1. Edgar O. Olsen, 2003. "Housing Programs for Low-Income Households," NBER Chapters, in: Means-Tested Transfer Programs in the United States, pages 365-442 National Bureau of Economic Research, Inc.
  2. Marianne Bertrand & Esther Duflo & Sendhil Mullainathan, 2004. "How Much Should We Trust Differences-in-Differences Estimates?," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 119(1), pages 249-275, February.
  3. Gérard Curci, 1991. "Portrait du locataire," Économie et Statistique, Programme National Persée, Programme National Persée, vol. 240(1), pages 19-28.
  4. Jean-Claude Driant & Alain Jacquot, 2005. "Loyers imputés et inégalités de niveau de vie," Économie et Statistique, Programme National Persée, Programme National Persée, vol. 381(1), pages 177-206.
  5. David le Blanc & Anne Laferrère, 2002. "Comment les aides au logement affectent-elles les loyers ?," Économie et Statistique, Programme National Persée, Programme National Persée, vol. 351(1), pages 3-30.
  6. Susin, Scott, 2002. "Rent vouchers and the price of low-income housing," Journal of Public Economics, Elsevier, Elsevier, vol. 83(1), pages 109-152, January.
  7. Catherine Villeneuve-Gokalp, 2000. "Les jeunes partent toujours au même âge de chez leurs parents," Économie et Statistique, Programme National Persée, Programme National Persée, vol. 337(1), pages 61-80.
Full references (including those not matched with items on IDEAS)



This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.


Access and download statistics


When requesting a correction, please mention this item's handle: RePEc:crs:ecosta:es381-382b. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (D3E).

If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

Please note that corrections may take a couple of weeks to filter through the various RePEc services.