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Does public housing occupancy increase unemployment?

  • Claire Dujardin


    (CORE - Center of Operation Research and Econometrics [Louvain] - UCL - Université Catholique de Louvain)

  • Florence Goffette-Nagot


    (GATE - Groupe d'analyse et de théorie économique - CNRS - UL2 - Université Lumière - Lyon 2 - Ecole Normale Supérieure Lettres et Sciences Humaines)

In order to test for the effect of public housing occupancy on unemployment, we estimate a simultaneous probit model of unemployment and public housing. On a first sample, we instrument public housing with the gender composition of children. On a second sample, the instrument is the share of public housing at the city level. We also perform a robustness check that consists in measuring the correlation between unobservables that could explain the effect of public housing on unemployment. As the corresponding level of correlation is low, this check reinforces our result of no effect of public housing on unemployment.

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Paper provided by HAL in its series Post-Print with number halshs-00355640.

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Date of creation: 2008
Date of revision:
Publication status: Published in Working Paper GATE 2008-33. 2008
Handle: RePEc:hal:journl:halshs-00355640
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