Measuring Land-Use Regulations and Their Effects in the Housing Market
Land-use regulation is undertaken by units of local government and is notoriously hard to measure. This paper assembles and reports the results of five complementary and overlapping surveys of local regulation in the San Francisco Bay Area. We compile measures derived from surveys of public officials conducted in 1992 and 1998 and another completed in 2007. In addition, we survey the perceptions of regulation among developers and land-use intermediaries. A rich description and comparison of regulatory patterns is provided. The paper also investigates relationships among various measures of regulation and housing outcomes. We find, for example, that the entitlement process increases the cost of a new single family dwelling by almost $23,000 in the Bay Area. Moreover, the requirement of an additional review by governmental agents to gain approval of new developments is associated with a four-percent increase in the prices of existing owner-occupied housing.
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- Quigley, John M. & Raphael, Steven & Rosenthal, Larry A., 2004.
"Local Land Use Controls and Demographic Outcomes in a Booming Economy,"
Berkeley Program on Housing and Urban Policy, Working Paper Series
qt4hm300n7, Berkeley Program on Housing and Urban Policy.
- John M. Quigley & Steven Raphael & Larry A. Rosenthal, 2004. "Local Land-use Controls and Demographic Outcomes in a Booming Economy," Urban Studies, Urban Studies Journal Limited, vol. 41(2), pages 389-421, February.
- Henry O. Pollakowski & Susan M. Wachter, 1990. "The Effects of Land-Use Constraints on Housing Prices," Land Economics, University of Wisconsin Press, vol. 66(3), pages 315-324.
- Joseph Gyourko & Albert Saiz & Anita Summers, 2008. "A New Measure of the Local Regulatory Environment for Housing Markets: The Wharton Residential Land Use Regulatory Index," Urban Studies, Urban Studies Journal Limited, vol. 45(3), pages 693-729, March.
- 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.
- Mayer, Christopher J. & Somerville, C. Tsuriel, 2000.
"Land use regulation and new construction,"
Regional Science and Urban Economics,
Elsevier, vol. 30(6), pages 639-662, December.
- Min Hwang & John M. Quigley, 2006.
"Economic Fundamentals In Local Housing Markets: Evidence From U.S. Metropolitan Regions,"
Journal of Regional Science,
Wiley Blackwell, vol. 46(3), pages 425-453.
- Hwang, Min & Quigley, John M., 2006. "Economic Fundamentals in Local Housing Markets: Evidence from U.S. Metropolitan Regions," Berkeley Program on Housing and Urban Policy, Working Paper Series qt79d325cm, Berkeley Program on Housing and Urban Policy.
- Ihlanfeldt, Keith R., 2007. "The effect of land use regulation on housing and land prices," Journal of Urban Economics, Elsevier, vol. 61(3), pages 420-435, May.
- Stephen Malpezzi & Susan M. Wachter, . "The Role of Speculation in Real Estate Cycles," Zell/Lurie Center Working Papers 401, Wharton School Samuel Zell and Robert Lurie Real Estate Center, University of Pennsylvania.
- John M. Quigley & Steven Raphael, 2005.
"Regulation and the High Cost of Housing in California,"
American Economic Review,
American Economic Association, vol. 95(2), pages 323-328, May.
- Quigley, John M. & Raphael, Steven, 2006. "Regulation and the High Cost of Housing in California," Berkeley Program on Housing and Urban Policy, Working Paper Series qt3hh7s35m, Berkeley Program on Housing and Urban Policy.
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