A tale of two districts: The impact of district consolidation on property values in Shanghai

Huayi Yu and Yujuan Hou

Regional Science and Urban Economics, 2021, vol. 87, issue C

Abstract: The consolidation of municipal districts is a momentous change in administrative divisions, which are formulated by municipal governments to optimize the layout of urban functions and coordinate regional development. How the consolidation of municipal districts affects property values in relevant areas has yet to be empirically tested. Using resold property transaction micro-data, this study empirically explores the impact of the consolidation of Jing'an and Zhabei districts in Shanghai on the property values via boundary difference-in-difference estimation. Empirical results show that, during the sample period, i) the overall property values in the consolidated region increased by 1.6% after the consolidation, ii) the consolidation increased property values by 4.8% in the less developed Zhabei but had no significant impact on the property values in the more developed Jing'an, and iii) the consolidation had an expanding impact on the property values in Zhabei district over time.

Keywords: Consolidation of municipal districts; Property value; Boundary effect; Difference-in-difference (search for similar items in EconPapers)
JEL-codes: R12 R31 R58 (search for similar items in EconPapers)
Date: 2021
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0166046221000077
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:regeco:v:87:y:2021:i:c:s0166046221000077

DOI: 10.1016/j.regsciurbeco.2021.103647

Access Statistics for this article

Regional Science and Urban Economics is currently edited by D.P McMillen and Y. Zenou

More articles in Regional Science and Urban Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().