IDEAS home Printed from https://ideas.repec.org/p/osf/osfxxx/v89fg.html
   My bibliography  Save this paper

Land as airspace: How rezoning privatizes public space (and why governments should not give it away for free)

Author

Listed:
  • Murray, Cameron

    (The University of Sydney)

  • Gordon, Josh

Abstract

A popular but contested view is that mass rezoning is an essential policy measure to address housing affordability. Often obscured in debates about this measure is that rezoning involves the privatization of public space. We clarify the nature of the policy by recognizing that property rights over land are, conceptually, a bundle of socially negotiated rights to parcels of airspace. This view shows that rezoning to provide rights to airspace for existing landowners is not costless. It involves transferring valuable property rights from the public to existing private landowners for free, creating a more unequal distribution of property rights ownership without necessarily generating faster housing development. We argue that giving away public rights to airspace should not be done for free and explore what policy measures retain value from residential rezoning for the public.

Suggested Citation

  • Murray, Cameron & Gordon, Josh, 2021. "Land as airspace: How rezoning privatizes public space (and why governments should not give it away for free)," OSF Preprints v89fg, Center for Open Science.
    • Handle: RePEc:osf:osfxxx:v89fg
    DOI: 10.31219/osf.io/v89fg
    as

    Download full text from publisher

    File URL: https://osf.io/download/614d398c9ef82f000eccd2f5/
    Download Restriction: no
    File URL: https://libkey.io/10.31219/osf.io/v89fg?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Orsetta Causa & Nicolas Woloszko & David Leite, 2019. "Housing, wealth accumulation and wealth distribution: Evidence and stylized facts," OECD Economics Department Working Papers 1588, OECD Publishing.
    2. Edward Glaeser & Joseph Gyourko, 2018. "The Economic Implications of Housing Supply," Journal of Economic Perspectives, American Economic Association, vol. 32(1), pages 3-30, Winter.
    3. Murray, Cameron, 2020. "A housing supply absorption rate equation," OSF Preprints 7n8rj, Center for Open Science.
    4. 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.
    5. Natacha Aveline-Dubach & Guillaume Blandeau, 2019. "The political economy of transit value capture: The changing business model of the MTRC in Hong Kong [L'économie politique de la captation de valeur foncière (Land value capture): le nouveau modèle," Post-Print halshs-02100616, HAL.
    6. Peter H. Pearse, 1988. "Property Rights and the Development of Natural Resource Policies in Canada," Canadian Public Policy, University of Toronto Press, vol. 14(3), pages 307-320, September.
    7. Murray, Cameron K. & Frijters, Paul, 2016. "Clean money, dirty system: Connected landowners capture beneficial land rezoning," Journal of Urban Economics, Elsevier, vol. 93(C), pages 99-114.
    8. Ross Kendall & Peter Tulip, 2018. "The Effect of Zoning on Housing Prices," RBA Research Discussion Papers rdp2018-03, Reserve Bank of Australia.
    9. Murray, Cameron K., 2020. "Time is money: How landbanking constrains housing supply," Journal of Housing Economics, Elsevier, vol. 49(C).
    10. Natacha Aveline-Dubach & Guillaume Blandeau, 2019. "The political economy of transit value capture: The changing business model of the MTRC in Hong Kong," Urban Studies, Urban Studies Journal Limited, vol. 56(16), pages 3415-3431, December.
    11. Murray, Cameron & Limb, Mark, 2020. "We zoned for density and got higher house prices: Supply and price effects of upzoning over 20 years," OSF Preprints zkt7v, Center for Open Science.
    12. Gabriel Metcalf, 2018. "Sand Castles before the Tide? Affordable Housing in Expensive Cities," Journal of Economic Perspectives, American Economic Association, vol. 32(1), pages 59-80, Winter.
    13. Aaron A. Moore, 2013. "Trading Density for Benefits: Toronto and Vancouver Compared," IMFG Papers 13, University of Toronto, Institute on Municipal Finance and Governance.
    Full references (including those not matched with items on IDEAS)

    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. Murray, Cameron & Phibbs, Peter, 2022. "Evidence-lite zone: The weak evidence behind the economic case against planning regulation," OSF Preprints 69m23, Center for Open Science.
    2. Murray, Cameron, 2020. "A housing supply absorption rate equation," OSF Preprints 7n8rj, Center for Open Science.
    3. Cameron K. Murray, 2022. "A Housing Supply Absorption Rate Equation," The Journal of Real Estate Finance and Economics, Springer, vol. 64(2), pages 228-246, February.
    4. Gabbe, C.J. & Kevane, Michael & Sundstrom, William A., 2021. "The effects of an “urban village” planning and zoning strategy in San Jose, California," Regional Science and Urban Economics, Elsevier, vol. 88(C).
    5. Murray, Cameron & Limb, Mark, 2020. "We zoned for density and got higher house prices: Supply and price effects of upzoning over 20 years," OSF Preprints zkt7v, Center for Open Science.
    6. Molloy, Raven, 2020. "The effect of housing supply regulation on housing affordability: A review," Regional Science and Urban Economics, Elsevier, vol. 80(C).
    7. Murray, Cameron K., 2020. "Time is money: How landbanking constrains housing supply," Journal of Housing Economics, Elsevier, vol. 49(C).
    8. Murray, Cameron, 2022. "What’s the rush? New housing market absorption rate metrics and the incentive to slow housing supply," OSF Preprints xscg5, Center for Open Science.
    9. Murray, Cameron, 2019. "The Australian housing supply myth," OSF Preprints r925z, Center for Open Science.
    10. Nicholas Kacher & Luke Petach, 2021. "Boon or Burden? Evaluating the Competing Effects of House-Price Shocks on Regional Entrepreneurship," Economic Development Quarterly, , vol. 35(4), pages 287-304, November.
    11. Christian Dustmann & Bernd Fitzenberger & Markus Zimmermann, 2022. "Housing Expenditure and Income Inequality," The Economic Journal, Royal Economic Society, vol. 132(645), pages 1709-1736.
    12. Graeme Guthrie, 2023. "Land Hoarding and Urban Development," The Journal of Real Estate Finance and Economics, Springer, vol. 67(4), pages 753-793, November.
    13. Tirthatanmoy Das & Kabir Dasgupta, 2018. "Evaluating the Impact of Mothers' Self-esteem on Early Childhood Home Environment: Evidence from NLSY," Working Papers 2018-03 JEL Classificatio, Auckland University of Technology, Department of Economics, revised Oct 2019.
    14. Nikos Karadimitriou & Sonia Guelton & Athanasios Pagonis & Silvia Sousa, 2022. "Public Value Capture, Climate Change, and the ‘Infrastructure Gap’ in Coastal Development: Examining Evidence from France and Greece," Sustainability, MDPI, vol. 14(12), pages 1-17, June.
    15. Weihang Gong & Jing (Victor) Li & Mee Kam Ng, 2021. "Deciphering Property Development around High-Speed Railway Stations through Land Value Capture: Case Studies in Shenzhen and Hong Kong," Sustainability, MDPI, vol. 13(22), pages 1-16, November.
    16. Zhang, Junfu, 2023. "JUE Insight: Measuring the Stringency of Land Use Regulation Using a Shadow Price Approach," Journal of Urban Economics, Elsevier, vol. 133(C).
    17. Maria Chiara Cavalleri & Boris Cournède & Volker Ziemann, 2019. "Housing markets and macroeconomic risks," OECD Economics Department Working Papers 1555, OECD Publishing.
    18. Elliott Sclar, 2021. "The Infinite Elasticity of Air: New York City’s Financialization of Transferable Development Rights," American Journal of Economics and Sociology, Wiley Blackwell, vol. 80(2), pages 353-380, March.
    19. Yuming Fu & Song Shi, 2022. "Barriers to urban spatial development: Evidence from the 2010–2011 Christchurch earthquakes," Journal of Regional Science, Wiley Blackwell, vol. 62(1), pages 218-245, January.
    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).

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:osf:osfxxx:v89fg. 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: OSF (email available below). General contact details of provider: https://osf.io/preprints/ .

    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.