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The role and significance of planning in the determination of house prices in Australia: Recent policy debates

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  • Peter Phibbs
  • Nicole Gurran

Abstract

On the world stage, Australian cities have been punching above their weight in global indexes of housing prices, sparking heated debates about the causes of and remedies for, sustained house price inflation. This paper examines the evidence base underpinning such debates, and the policy claims made by key commentators and stakeholders. With reference to the wider context of Australia’s housing market over a 20 year period, as well as an in depth analysis of a research paper by Australia’s central Reserve Bank, we show how economic theories commonly position land use planning as a primary driver of new supply constraints but overlook other explanations for housing market behavior. In doing so, we offer an alternative understanding of urban housing markets and land use planning interventions as a basis for more effective policy intervention in Australian and other world cities.

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  • Peter Phibbs & Nicole Gurran, 2021. "The role and significance of planning in the determination of house prices in Australia: Recent policy debates," Environment and Planning A, , vol. 53(3), pages 457-479, May.
    • Handle: RePEc:sae:envira:v:53:y:2021:i:3:p:457-479
    DOI: 10.1177/0308518X21988942
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    2. Milo Costanza-van den Belt & Tayanah O’Donnell & Robert Webb & Eleanor Robson & Robert Costanza & Jiaqian Ling & Sarah Crowe & Hao Han, 2021. "Community Preferences for Urban Systems Transformation in Australia," Sustainability, MDPI, vol. 13(9), pages 1-23, April.
    3. Martijn Konings & Lisa Adkins & Dallas Rogers, 2021. "The institutional logic of property inflation," Environment and Planning A, , vol. 53(3), pages 448-456, May.

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