We study the role of land development restrictions for the effects of highway expansion on the spatial distribution of population. We demonstrate that these restrictions strongly interfered with the effects of highways in the Netherlands. Introducing an IV approach to address endogenous...

Reimbursement of commuting costs by employers has attracted little attention from economists. We develop a theoretical model of a monopsonistic employer who determines an optimal recruitment policy in a spatial labour market with search frictions and show that partial reimbursement of commuting...