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Locating Public Facilities: Theory and Micro Evidence from Paris

Gabriel Loumeau

Journal of Urban Economics, 2023, vol. 135, issue C

Abstract: This paper proposes a novel approach to evaluate location decisions for public facilities. The approach addresses, not only the standard distance-minimizing problem, but also the endogenous location decisions of individuals. The paper develops a quantifiable general equilibrium model with endogenous (residential and commercial) densities, housing prices, commutes to work, as well as to public/private facilities. The framework is applied to the case of secondary schools in Paris’ greater region at a 1km2 geographical scale. The analysis reveals that the observed location decisions made between 2001 and 2015 underestimate the endogenous reaction of individuals. A more decentralized strategy is predicted to increase welfare growth by 10 percent, reduce density in Paris’ center, and shorten commuting times to school globally.

JEL-codes: H11 R12 R53 (search for similar items in EconPapers)
Date: 2023
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Citations: View citations in EconPapers (3)

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Related works:
Working Paper: Locating Public Facilities: Theory and Micro Evidence from Paris (2021) Downloads
Working Paper: Locating Public Facilities: Theory and Micro Evidence from Paris (2019) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:eee:juecon:v:135:y:2023:i:c:s009411902300013x

DOI: 10.1016/j.jue.2023.103544

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