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Sprawl and Blight

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Author Info

  • Jan K. Brueckner
  • Robert W. Helsley

Abstract

The objective of this paper is to show how the same market failures that contribute to urban sprawl also contribute to urban blight. The paper develops a simple dynamic model in which new suburban and older central-city properties compete for mobile residents. The level of housing services generated by older properties depends on current maintenance or reinvest-ment expenditures. In this setting, market failures that reduce the cost of occupying suburban locations, thus leading to excessive suburban development, also depress central-city housing prices and undermine maintenance incentives, leading to deficient levels of central-city rein-vestment. Corrective policies that shift population from the suburbs to the center result in higher levels of reinvestment in central-city housing, therefore reducing blight.

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File URL: http://www.cesifo-group.de/portal/page/portal/DocBase_Content/WP/WP-CESifo_Working_Papers/wp-cesifo-2009/wp-cesifo-2009-09/cesifo1_wp2792.pdf
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Bibliographic Info

Paper provided by CESifo Group Munich in its series CESifo Working Paper Series with number 2792.

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Date of creation: 2009
Date of revision:
Handle: RePEc:ces:ceswps:_2792

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Related research

Keywords: urban sprawl; blight; market failures;

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References

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  1. Jordan Rappaport, 2004. "Moving to Nice Weather," Econometric Society 2004 North American Summer Meetings 188, Econometric Society.
  2. Brueckner, Jan K., 2007. "Urban growth boundaries: An effective second-best remedy for unpriced traffic congestion?," Journal of Housing Economics, Elsevier, vol. 16(3-4), pages 263-273, November.
  3. Wheaton, William C., 1998. "Land Use and Density in Cities with Congestion," Journal of Urban Economics, Elsevier, vol. 43(2), pages 258-272, March.
  4. Peter Mieszkowski & Edwin S. Mills, 1993. "The Causes of Metropolitan Suburbanization," Journal of Economic Perspectives, American Economic Association, vol. 7(3), pages 135-147, Summer.
  5. Julie Berry Cullen & Steven D. Levitt, 1996. "Crime, Urban Flight, and the Consequences for Cities," NBER Working Papers 5737, National Bureau of Economic Research, Inc.
  6. Rappaport, Jordan & Kahn, Matthew E. & Glaeser, Edward, 2008. "Why Do The Poor Live In Cities? The Role of Public Transportation," Scholarly Articles 2958224, Harvard University Department of Economics.
  7. Aaronson, Daniel, 2001. "Neighborhood Dynamics," Journal of Urban Economics, Elsevier, vol. 49(1), pages 1-31, January.
  8. Edward L. Glaeser & Matthew E. Kahn, 2003. "Sprawl and Urban Growth," Harvard Institute of Economic Research Working Papers 2004, Harvard - Institute of Economic Research.
  9. Braid, Ralph M., 1986. "The comparative statics of a filtering model of housing with two income groups," Regional Science and Urban Economics, Elsevier, vol. 16(3), pages 437-448, August.
  10. Bond, Eric W. & Coulson, N. Edward, 1989. "Externalities, filtering, and neighborhood change," Journal of Urban Economics, Elsevier, vol. 26(2), pages 231-249, September.
  11. Bradford, David F & Kelejian, Harry H, 1973. "An Econometric Model of the Flight to the Suburbs," Journal of Political Economy, University of Chicago Press, vol. 81(3), pages 566-89, May-June.
  12. Nathaniel Baum-Snow, 2007. "Did Highways Cause Suburbanization?," The Quarterly Journal of Economics, MIT Press, vol. 122(2), pages 775-805, 05.
  13. Brueckner, Jan K., 1997. "Infrastructure financing and urban development:: The economics of impact fees," Journal of Public Economics, Elsevier, vol. 66(3), pages 383-407, December.
  14. Marcy Burchfield & Henry G. Overman & Diego Puga & Matthew A. Turner, 2005. "Causes of sprawl: A portrait from space," Working Papers tecipa-192, University of Toronto, Department of Economics.
  15. Anas, Alex & Pines, David, 2008. "Anti-sprawl policies in a system of congested cities," Regional Science and Urban Economics, Elsevier, vol. 38(5), pages 408-423, September.
  16. Thomas J. Nechyba & Randall P. Walsh, 2004. "Urban Sprawl," Journal of Economic Perspectives, American Economic Association, vol. 18(4), pages 177-200, Fall.
  17. Mills, Edwin S. & Price, Richard, 1984. "Metropolitan suburbanization and central city problems," Journal of Urban Economics, Elsevier, vol. 15(1), pages 1-17, January.
  18. Ihlanfeldt, Keith R & Sjoquist, David L, 1990. "Job Accessibility and Racial Differences in Youth Employment Rates," American Economic Review, American Economic Association, vol. 80(1), pages 267-76, March.
  19. Bruegmann, Robert, 2005. "Sprawl," University of Chicago Press Economics Books, University of Chicago Press, number 9780226076904, March.
  20. Bento, Antonio M. & Franco, Sofia F. & Kaffine, Daniel, 2006. "The efficiency and distributional impacts of alternative anti-sprawl policies," Journal of Urban Economics, Elsevier, vol. 59(1), pages 121-141, January.
  21. Bradbury, Katharine L & Downs, Anthony & Small, Kenneth A, 1980. "Some Dynamics of Central City-Suburban Interactions," American Economic Review, American Economic Association, vol. 70(2), pages 410-14, May.
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Citations

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Cited by:
  1. Albert Solé-Ollé & Elisabet Viladecans-Marsal, 2013. "Do Political Parties Matter for Local Land Use Policies?," CESifo Working Paper Series 4284, CESifo Group Munich.
  2. Weaver, R.C., 2013. "Re-framing the urban blight problem with trans-disciplinary insights from ecological economics," Ecological Economics, Elsevier, vol. 90(C), pages 168-176.
  3. Bento, Antonio M. & Franco, Sofia F. & Kaffine, Daniel, 2011. "Welfare Effects of Anti-Sprawl Policies in the Presence of Urban Decline," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 40(3), December.
  4. Jan K. Brueckner, 2013. "Efficiency of Decentralized Road Investment and Pricing in a Multi-Jurisdictional City with Spillovers," CESifo Working Paper Series 4384, CESifo Group Munich.
  5. William J. Collins & Katharine Shester, 2010. "The Economic Effects of Slum Clearance and Urban Renewal in the United States," Vanderbilt University Department of Economics Working Papers 1013, Vanderbilt University Department of Economics.
  6. Larson, William & Liu, Feng & Yezer, Anthony, 2012. "Energy footprint of the city: Effects of urban land use and transportation policies," Journal of Urban Economics, Elsevier, vol. 72(2), pages 147-159.
  7. Jan K. Brueckner, 2013. "Decentralized Road Investment and Pricing in a Monocentric, Multi-Jurisdictional City: Efficiency with Spillovers," CESifo Working Paper Series 4473, CESifo Group Munich.

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