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Quantifying land-use regulation and its determinants

Simon Büchler and Maximilian von Ehrlich

Journal of Economic Geography, 2023, vol. 23, issue 5, 1059-1096

Abstract: We analyze land-use regulation and the determinants thereof across Swiss municipalities. We construct several residential development stringency indices based on a comprehensive survey. These indices capture various aspects of local regulation and land-use coordination across jurisdictions. Combining these indices, we construct an index that provides harmonized information about what local regulation entails and the local regulatory environment across municipalities. Our analysis shows that historical building density, natural amenities, socio-demographic factors, cultural aspects and municipal competition are important determinants of local land-use regulation. However, a large share of land-use regulation variation remains unexplained. Moreover, our results indicate that more stringent land-use regulation is associated with steeper house price increases but less urban sprawl.

Keywords: Local regulation; zoning; federalism; determinants of regulation (search for similar items in EconPapers)
JEL-codes: H7 H73 R1 R14 R31 R52 (search for similar items in EconPapers)
Date: 2023
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Citations: View citations in EconPapers (2)

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Journal of Economic Geography is currently edited by Jorge De la Roca, Stephen Gibbons, Simona Iammarino, Amanda Ross and James Faulconbridge

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