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Can Public Housing Trigger Industrialization?

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  • Dalmazzo, Alberto
  • de Blasio, Guido
  • Poy, Samuele

Abstract

The impact of public housing plans on local development is a neglected, although potentially important, issue. Here, we consider the impact of a public housing supply shock in a spatial equilibrium model and show that a larger local availability of houses can trigger industrialization by raising the number of residents. Also, the model suggests that this mechanism is stronger in places that exhibited, prior to the public housing plan, relatively higher population density. These implications are confirmed by the evidence we find from the INA-Casa plan, a program implemented by the Italian government in the aftermath of WWII.

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  • Dalmazzo, Alberto & de Blasio, Guido & Poy, Samuele, 2022. "Can Public Housing Trigger Industrialization?," Journal of Housing Economics, Elsevier, vol. 57(C).
    • Handle: RePEc:eee:jhouse:v:57:y:2022:i:c:s1051137722000274
    DOI: 10.1016/j.jhe.2022.101853
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    1. Charles Ka Yui LEUNG, 2022. "Housing and Macroeconomics," ISER Discussion Paper 1197, Institute of Social and Economic Research, Osaka University.

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    More about this item

    Keywords

    Housing policy; urbanization; industrialization;
    All these keywords.

    JEL classification:

    • O14 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Industrialization; Manufacturing and Service Industries; Choice of Technology
    • J61 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Geographic Labor Mobility; Immigrant Workers
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)

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