Subsidized Housing, Emergency Shelters, and Homelessness: An Empirical Investigation Using Data from the 1990 Census
This paper uses data on the only systematic count of the homeless throughout the United States to estimate the effect on the rate of homelessness of a wide variety of potentially important determinants, including several major policy responses to homelessness that have not been included in previous studies. It improves upon estimates of the effect of previously studied determinants by using measures that correspond more closely to underlying theoretical constructs, especially by accounting for geographical price differences. It also conducts numerous sensitivity analyses and analyzes the consequences of the undercount of the homeless for point estimates and hypothesis tests. The paper's most important finding from a policy perspective is that targeting the current budget authority for housing assistance on the poorest eligible households will essentially eliminate homelessness among those who apply for assistance. Achieving this goal without concentrating the poorest households in housing projects and without spending more money requires vouchering out project-based assistance. The primary methodological finding of the paper is that the 1990 Decennial Census did not produce sufficiently accurate counts, especially of the street homeless, to permit very precise estimates of the effects of many factors which surely affect the rate of homelessness. The main exceptions are the price of housing and average March temperature. Plausible models of the undercount imply that in regressions with a rate of homelessness as the dependent variable estimators of the coefficients of explanatory variables will be biased towards zero. In regressions with the logarithm of a rate of homelessness as the dependent variable, only the estimator of the constant term will be biased downwards. The unknown magnitude of the undercount precludes predicting the effects of policy interventions on the number of homeless based on the results in this paper and previous studies.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Honig, Marjorie & Filer, Randall K, 1993. "Causes of Intercity Variation in Homelessness," American Economic Review, American Economic Association, vol. 83(1), pages 248-255, March.
- Edgar O. Olsen, 2000. "The Cost-Effectiveness of Alternative Methods of Delivering Housing Subsidies," Virginia Economics Online Papers 351, University of Virginia, Department of Economics.
- Allgood, Sam & Moore, Myra L. & Warren, Ronald Jr., 1997. "The Duration of Sheltered Homelessness in a Small City," Journal of Housing Economics, Elsevier, vol. 6(1), pages 60-80, March.
- John M. Quigley & Steven Raphael & Eugene Smolensky, 2001.
"Homeless In America, Homeless In California,"
The Review of Economics and Statistics,
MIT Press, vol. 83(1), pages 37-51, February.
- Quigley, John M. & Raphael, Steven & Smolensky, Eugene, 2002. "Homeless in America, Homeless in California," Berkeley Program on Housing and Urban Policy, Working Paper Series qt4v61c0ws, Berkeley Program on Housing and Urban Policy.
- John M. Quigley, 1990. "Does rent control cause homelessness? taking the claim seriously," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 9(1), pages 89-93.
- Troutman, William Harris & Jackson, John D & Ekelund, Robert B, Jr, 1999. "Public Policy, Perverse Incentives, and the Homeless Problem," Public Choice, Springer, vol. 98(1-2), pages 195-212, January.
- Grimes, Paul W. & Chressanthis, George A., 1997. "Assessing the Effect of Rent Control on Homelessness," Journal of Urban Economics, Elsevier, vol. 41(1), pages 23-37, January.
- Cragg, Michael & O'Flaherty, Brendan, 1999. "Do Homeless Shelter Conditions Determine Shelter Population? The Case of the Dinkins Deluge," Journal of Urban Economics, Elsevier, vol. 46(3), pages 377-415, November.
- Early, Dirk W. & Olsen, Edgar O., 1998. "Rent control and homelessness," Regional Science and Urban Economics, Elsevier, vol. 28(6), pages 797-816, November.
- Stephen Malpezzi & Gregory H. Chun & Richard K. Green, 1998. "New Place-to-Place Housing Price Indexes for U.S. Metropolitan Areas, and Their Determinants," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 26(2), pages 235-274. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:vir:virpap:352. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Debby Stanford)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.