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articles: Economic impacts of subsidized housing relocation


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  • Michael P. Johnson

    (H. John Heinz III School of Public Policy and Management, Carnegie Mellon University, Pittsburgh, PA 15213-3890, USA)

  • Arthur P. Hurter

    (Department of Industrial Engineering and Management Sciences, Northwestern University, Evanston, IL 60208, USA)

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    In recent years increased emphasis has been placed on use of "tenant-based" housing subsidies for acquisition of market-rate housing that is more economically and racially integrated than traditional "project-based" public housing. In this article, we model the short-term economic effects upon various groups of a hypothetical program in which low-income families move from inner-city public housing to spatially dispersed Section 8 rental housing. Using cross-section data from the Chicago region, impacts are computed for two of these groups. Preliminary results indicate that the short-term net economic impact of this hypothetical housing relocation is negative, that these impacts have a spatial character, and that there is a potential tradeoff between tenant benefits, housing subsidies from society and housing integration.

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    Bibliographic Info

    Article provided by Springer in its journal Papers in Regional Science.

    Volume (Year): 78 (1999)
    Issue (Month): 3 ()
    Pages: 265-295

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    Handle: RePEc:spr:presci:v:78:y:1999:i:3:p:265-295

    Note: Received: 20 January 1998
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    Related research

    Keywords: Housing; benefit-cost analysis; public sector; welfare economics; mobility;

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    Cited by:
    1. Galster, George, 2002. "An economic efficiency analysis of deconcentrating poverty populations," Journal of Housing Economics, Elsevier, vol. 11(4), pages 303-329, December.


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