Housing Constraints and Spatial Misallocation

Enrico Moretti and Chang-Tai Hsieh

No 12912, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: We quantify the amount of spatial misallocation of labor across US cities and its aggregate costs. Misallocation arises because high productivity cities like New York and the San Francisco Bay Area have adopted stringent restrictions to new housing supply, effectively limiting the number of workers who have access to such high productivity. Using a spatial equilibrium model and data from 220 metropolitan areas we find that these constraints lowered aggregate US growth by 36% from 1964 to 2009.

Date: 2018-05
New Economics Papers: this item is included in nep-ure
References: Add references at CitEc
Citations: View citations in EconPapers (14)

Downloads: (external link)
https://cepr.org/publications/DP12912 (application/pdf)

Related works:
Journal Article: Housing Constraints and Spatial Misallocation (2019)
Working Paper: Housing Constraints and Spatial Misallocation (2015)
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:cpr:ceprdp:12912

Ordering information: This working paper can be ordered from
https://cepr.org/publications/DP12912

Access Statistics for this paper

More papers in CEPR Discussion Papers from Centre for Economic Policy Research 33 Great Sutton Street, London EC1V 0DX, UK.
Bibliographic data for series maintained by CEPR ().