IDEAS home Printed from https://ideas.repec.org/a/eee/jhouse/v19y2010i4p269-279.html
   My bibliography  Save this article

The housing market effects of discrete land use regulations: Evidence from the California coastal boundary zone

Author

Listed:
  • Kahn, Matthew E.
  • Vaughn, Ryan
  • Zasloff, Jonathan

Abstract

The California coast line borders some of the most beautiful and expensive land in the entire world. The California Coastal Commission was created in 1976 to protect the coast line and to regulate land use within the coastal boundary zone. This well defined regulatory boundary offers a unique opportunity to study the consequences of land use regulation on nearby housing located in the same political jurisdiction. Using two different geocoded data sets, we document gentrification within the boundary and discuss possible explanations for these patterns.

Suggested Citation

  • Kahn, Matthew E. & Vaughn, Ryan & Zasloff, Jonathan, 2010. "The housing market effects of discrete land use regulations: Evidence from the California coastal boundary zone," Journal of Housing Economics, Elsevier, vol. 19(4), pages 269-279, December.
    • Handle: RePEc:eee:jhouse:v:19:y:2010:i:4:p:269-279
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1051-1377(10)00041-0
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Sandra E. Black, 1999. "Do Better Schools Matter? Parental Valuation of Elementary Education," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(2), pages 577-599.
    2. Guerrieri, Veronica & Hartley, Daniel & Hurst, Erik, 2013. "Endogenous gentrification and housing price dynamics," Journal of Public Economics, Elsevier, vol. 100(C), pages 45-60.
    3. Patrick Bayer & Fernando Ferreira & Robert McMillan, 2007. "A Unified Framework for Measuring Preferences for Schools and Neighborhoods," Journal of Political Economy, University of Chicago Press, vol. 115(4), pages 588-638, August.
    4. Joseph Gyourko & Christopher Mayer & Todd Sinai, 2013. "Superstar Cities," American Economic Journal: Economic Policy, American Economic Association, vol. 5(4), pages 167-199, November.
    5. Quigley, John M. & Rosenthal, Larry A., 2005. "The Effects of Land-Use Regulation on the Price of Housing: What Do We Know? What Can We Learn?," Berkeley Program on Housing and Urban Policy, Working Paper Series qt90m9g90w, Berkeley Program on Housing and Urban Policy.
    6. Katz, Lawrence & Rosen, Kenneth T, 1987. "The Interjurisdictional Effects of Growth Controls on Housing Prices," Journal of Law and Economics, University of Chicago Press, vol. 30(1), pages 149-160, April.
    7. Henry O. Pollakowski & Susan M. Wachter, 1990. "The Effects of Land-Use Constraints on Housing Prices," Land Economics, University of Wisconsin Press, vol. 66(3), pages 315-324.
    8. John M. Quigley & Steven Raphael, 2005. "Regulation and the High Cost of Housing in California," American Economic Review, American Economic Association, vol. 95(2), pages 323-328, May.
    9. Thomas J. Holmes, 1998. "The Effect of State Policies on the Location of Manufacturing: Evidence from State Borders," Journal of Political Economy, University of Chicago Press, vol. 106(4), pages 667-705, August.
    10. Glaeser, Edward L & Gyourko, Joseph & Saks, Raven, 2005. "Why Is Manhattan So Expensive? Regulation and the Rise in Housing Prices," Journal of Law and Economics, University of Chicago Press, vol. 48(2), pages 331-369, October.
    11. Leah Platt Boustan, 2007. "Escape from the City? The Role of Race, Income, and Local Public Goods in Post-War Suburbanization," NBER Working Papers 13311, National Bureau of Economic Research, Inc.
    12. Waldfogel, Joel, 2008. "The median voter and the median consumer: Local private goods and population composition," Journal of Urban Economics, Elsevier, vol. 63(2), pages 567-582, March.
    13. Joseph Gyourko & Albert Saiz & Anita Summers, 2008. "A New Measure of the Local Regulatory Environment for Housing Markets: The Wharton Residential Land Use Regulatory Index," Urban Studies, Urban Studies Journal Limited, vol. 45(3), pages 693-729, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Blog mentions

    As found by EconAcademics.org, the blog aggregator for Economics research:
    1. Are Green Cities Elitist?
      by Matthew Kahn in Environmental and Urban Economics on 2013-03-03 03:07:00
    2. The Consequences of Ideology
      by Matthew Kahn in Environmental and Urban Economics on 2014-08-13 20:18:00
    3. Expensive Housing in Liberal California: Supply or Demand?
      by Matthew Kahn in Environmental and Urban Economics on 2014-09-24 19:05:00
    4. The Benefits of California Coastal Development: The Case of Morro Bay
      by Matthew Kahn in Environmental and Urban Economics on 2014-11-24 21:45:00
    5. Texas Governor Rick Perry Presents Some Solid Econ 101 Logic
      by Matthew Kahn in Environmental and Urban Economics on 2015-07-07 01:30:00
    6. The California Coastal Commission and Housing Supply Regulation
      by Matthew Kahn in Environmental and Urban Economics on 2016-02-11 20:38:00
    7. Do the Laws of Economics Hold in California?
      by Matthew Kahn in Environmental and Urban Economics on 2016-06-13 20:59:00
    8. The Allocation of Scarce Resources: The Case of NBA Warriors Ticket Prices
      by Matthew Kahn in Environmental and Urban Economics on 2016-06-09 00:03:00
    9. Did Coastal Local Zoning in Progressive States Caused the Trump Win? Post #2
      by Matthew Kahn in Environmental and Urban Economics on 2016-11-27 21:27:00
    10. Three Thoughts About Regulation and U.S Competitiveness
      by Matthew Kahn in Environmental and Urban Economics on 2016-12-10 20:38:00
    11. The Economics of One California Coastal Commission Ruling
      by Matthew Kahn in Environmental and Urban Economics on 2017-02-12 00:42:00
    12. Would California be an Even Better Place to Live if Republicans had more Political Clout?
      by Matthew Kahn in Environmental and Urban Economics on 2017-03-15 19:35:00
    13. Why is California Housing 4 Times as Expensive as Alabama Housing? Supply or Demand Revisited
      by Matthew Kahn in Environmental and Urban Economics on 2017-07-18 19:50:00
    14. Why Is There No New Housing Construction in the Desirable Venice Beach, California Area?
      by Matthew Kahn in Environmental and Urban Economics on 2017-07-17 23:40:00
    15. Nuances about Using the Supply and Demand Model in Urban Economics
      by Matthew Kahn in Environmental and Urban Economics on 2018-07-18 16:10:00
    16. Why is Beautiful California Losing Congressional Seats? Constrained Local Housing Supply Influences National Politics
      by Matthew E. Kahn in Environmental and Urban Economics on 2021-04-27 14:15:00
    17. The Decline of California
      by Matthew Yglesias in Moneybox on 2012-05-14 19:22:12

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Siqi Zheng & Matthew E. Kahn, 2013. "Does Government Investment in Local Public Goods Spur Gentrification? Evidence from Beijing," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 41(1), pages 1-28, March.
    2. Gyourko, Joseph & Molloy, Raven, 2015. "Regulation and Housing Supply," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1289-1337, Elsevier.
    3. Yong Chen & David J. Lewis & Bruce Weber, 2021. "Natural amenities and skill sorting in rural communities: a case study of land conservation policy," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 67(3), pages 649-669, December.
    4. Fan, Jianshuang & Zhou, Lin & Yu, Xiaofen & Zhang, Yanjiang, 2021. "Impact of land quota and land supply structure on China’s housing prices: Quasi-natural experiment based on land quota policy adjustment," Land Use Policy, Elsevier, vol. 106(C).
    5. Xi Yang, 2021. "Land-Use Regulations and Urban Growth of African Americans," Economic Development Quarterly, , vol. 35(4), pages 338-350, November.
    6. Tammy Leonard & Xi Yang & Lei Zhang, 2021. "The impact of land use regulation across the conditional distribution of home prices: an application of quantile regression for group-level treatments," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(3), pages 655-676, June.
    7. Guerrieri, Veronica & Hartley, Daniel & Hurst, Erik, 2013. "Endogenous gentrification and housing price dynamics," Journal of Public Economics, Elsevier, vol. 100(C), pages 45-60.
    8. Camilo Andrés Acosta Mejía, 2021. "The Incidence of Land Use Regulations," Documentos de Trabajo CIEF 19223, Universidad EAFIT.
    9. Bigelow, Daniel P. & Plantinga, Andrew J., 2017. "Town mouse and country mouse: Effects of urban growth controls on equilibrium sorting and land prices," Regional Science and Urban Economics, Elsevier, vol. 65(C), pages 104-115.
    10. Gabbe, C.J., 2019. "Local regulatory responses during a regional housing shortage: An analysis of rezonings in Silicon Valley," Land Use Policy, Elsevier, vol. 80(C), pages 79-87.
    11. Chatman, Daniel G. PhD & Barbour, Elisa PhD & Kerzhner, Tamara & Manville, Michael PhD & Reid, Carolina PhD, 2023. "Policies to Improve Transportation Sustainability, Accessibility, and Housing Affordability in the State of California," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt03z7t8r1, Institute of Transportation Studies, UC Berkeley.
    12. Matthew E. Kahn, 2017. "Is Local Public Sector Rent Extraction Higher in Progressive Cities or High Amenity Cities?," NBER Working Papers 23201, National Bureau of Economic Research, Inc.
    13. Susane Leguizamon & David Christafore, 2021. "The influence of land use regulation on the probability that low-income neighbourhoods will gentrify," Urban Studies, Urban Studies Journal Limited, vol. 58(5), pages 993-1013, April.
    14. Greenaway-McGrevy, Ryan & Phillips, Peter C.B., 2023. "The impact of upzoning on housing construction in Auckland," Journal of Urban Economics, Elsevier, vol. 136(C).
    15. Michael Manville & Michael Lens & Paavo Monkkonen, 2022. "Zoning and affordability: A reply to Rodríguez-Pose and Storper," Urban Studies, Urban Studies Journal Limited, vol. 59(1), pages 36-58, January.
    16. Guo, Wei & Liao, Yanjun (Penny) & Miao, Qing, 2023. "Managed Retreat and Flood Recovery: The Local Economic Impacts of a Buyout and Acquisition Program," RFF Working Paper Series 23-44, Resources for the Future.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gyourko, Joseph & Molloy, Raven, 2015. "Regulation and Housing Supply," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1289-1337, Elsevier.
    2. Kahn, Matthew E. & Walsh, Randall, 2015. "Cities and the Environment," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 405-465, Elsevier.
    3. Ganong, Peter & Shoag, Daniel, 2017. "Why has regional income convergence in the U.S. declined?," Journal of Urban Economics, Elsevier, vol. 102(C), pages 76-90.
    4. Michael Manville & Michael Lens & Paavo Monkkonen, 2022. "Zoning and affordability: A reply to Rodríguez-Pose and Storper," Urban Studies, Urban Studies Journal Limited, vol. 59(1), pages 36-58, January.
    5. Koster, Hans R.A. & van Ommeren, Jos & Rietveld, Piet, 2012. "Bombs, boundaries and buildings," Regional Science and Urban Economics, Elsevier, vol. 42(4), pages 631-641.
    6. Rosenthal, Stuart S. & Ross, Stephen L., 2015. "Change and Persistence in the Economic Status of Neighborhoods and Cities," Handbook of Regional and Urban Economics, in: Gilles Duranton & J. V. Henderson & William C. Strange (ed.), Handbook of Regional and Urban Economics, edition 1, volume 5, chapter 0, pages 1047-1120, Elsevier.
    7. Zabel, Jeffrey & Dalton, Maurice, 2011. "The impact of minimum lot size regulations on house prices in Eastern Massachusetts," Regional Science and Urban Economics, Elsevier, vol. 41(6), pages 571-583.
    8. Jackson, Kristoffer, 2016. "Do land use regulations stifle residential development? Evidence from California cities," Journal of Urban Economics, Elsevier, vol. 91(C), pages 45-56.
    9. Elliot Anenberg & Edward Kung, 2018. "Can More Housing Supply Solve the Affordability Crisis? Evidence from a Neighborhood Choice Model," Finance and Economics Discussion Series 2018-035, Board of Governors of the Federal Reserve System (U.S.).
    10. Christian A. L. Hilber, 2017. "The Economic Implications of House Price Capitalization: A Synthesis," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 45(2), pages 301-339, April.
    11. Duranton, Gilles & Puga, Diego, 2014. "The Growth of Cities," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 2, chapter 5, pages 781-853, Elsevier.
    12. John Landis & Vincent J. Reina, 2021. "Do Restrictive Land Use Regulations Make Housing More Expensive Everywhere?," Economic Development Quarterly, , vol. 35(4), pages 305-324, November.
    13. David Christafore & Susane Leguizamon, 2015. "Spatial Spillovers of Land Use Regulation in the United States," Housing Studies, Taylor & Francis Journals, vol. 30(3), pages 491-503, June.
    14. Hilber, Christian A.L. & Robert-Nicoud, Frédéric, 2013. "On the origins of land use regulations: Theory and evidence from US metro areas," Journal of Urban Economics, Elsevier, vol. 75(C), pages 29-43.
    15. Paciorek, Andrew, 2013. "Supply constraints and housing market dynamics," Journal of Urban Economics, Elsevier, vol. 77(C), pages 11-26.
    16. Edward L. Glaeser, 2012. "Urban Public Finance," NBER Working Papers 18244, National Bureau of Economic Research, Inc.
    17. Albouy, David & Ehrlich, Gabriel, 2018. "Housing productivity and the social cost of land-use restrictions," Journal of Urban Economics, Elsevier, vol. 107(C), pages 101-120.
    18. Brian Asquith & Evan Mast & Davin Reed, 2019. "Supply Shock Versus Demand Shock: The Local Effects of New Housing in Low-Income Areas," Upjohn Working Papers 19-316, W.E. Upjohn Institute for Employment Research.
    19. Oikarinen, Elias & Peltola, Risto & Valtonen, Eero, 2015. "Regional variation in the elasticity of supply of housing, and its determinants: The case of a small sparsely populated country," Regional Science and Urban Economics, Elsevier, vol. 50(C), pages 18-30.
    20. Howard, Greg & Liebersohn, Jack, 2021. "Why is the rent so darn high? The role of growing demand to live in housing-supply-inelastic cities," Journal of Urban Economics, Elsevier, vol. 124(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:jhouse:v:19:y:2010:i:4:p:269-279. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/622881 .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.