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This paper analyzes the effects of land use constraints on housing prices. We provide a new framework for evaluating policy when mobility across regions is allowed but limited. A key result is that loosening regulatory constraints within individual regions would have little effect on prices for...
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Although the volatility of house prices is often ascribed to demand-side factors, constraints on housing supply have … the volatility of house prices and the regulation of new housing supply. I then employ a dynamic structural model of … housing investment to estimate the effect of supply constraints on both the level of new construction and the responsiveness …
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