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A view on optimal urban growth controls

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  • Fu-Chuan Lai

    ()
    (Department of Economics, National Taipei University, Taipei, Taiwan)

  • Shu-Tsung Yang

    (Taiwan Institute of Economic Research, Taipei, Taiwan)

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    Abstract

    Sasaki (1998) generalizes the urban-growth-control model developed by Brueckner and Lai (1996) (B-L, hereafter) and concludes that the optimal urban-growth control is less (more) stringent than the B-L model when an agglomeration effect (public-good-provision effect) is considered. However, this paper here proves that the optimal urban-growth control may or may not be more stringent than the B-L model when the agglomeration effect or (and) the public-good-provision effect is (are) considered. This result sharply differs from that of Sasaki's model. The intuition behind it is that the increase in commuting costs for landowners due to renter-immigration is overlooked in Sasaki's model.

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    Bibliographic Info

    Article provided by Springer in its journal The Annals of Regional Science.

    Volume (Year): 36 (2002)
    Issue (Month): 2 ()
    Pages: 229-238

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    Handle: RePEc:spr:anresc:v:36:y:2002:i:2:p:229-238

    Note: Received: February 2001/Accepted: September 2001
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