Urban Renewal and Inequality: Evidence from Chicago’s Public Housing Demolitions

Milena Almagro, Eric Chyn and Bryan Stuart
Additional contact information
Bryan Stuart: https://www.philadelphiafed.org/our-people/bryan-stuart

No 23-19, Working Papers from Federal Reserve Bank of Philadelphia

Abstract: This paper studies one of the largest spatially targeted redevelopment efforts implemented in the United States: public housing demolitions sponsored by the HOPE VI program. Focusing on Chicago, we study welfare and racial disparities in the impacts of demolitions using a structural model that features a rich set of equilibrium responses. Our results indicate that demolitions had notably heterogeneous effects where welfare decreased for low-income minority households and increased for White households. Counterfactual simulations explore how housing policy mitigates negative effects of demolitions and suggest that increased public housing site redevelopment is the most effective policy for reducing racial inequality.

Keywords: Urban Renewal; Inequality; Segregation; Endogenous Neighborhood Change (search for similar items in EconPapers)
JEL-codes: I31 R23 R28 (search for similar items in EconPapers)
Pages: 65
Date: 2023-09-13
New Economics Papers: this item is included in nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)

Downloads: (external link)
https://www.philadelphiafed.org/-/media/frbp/asset ... ers/2023/wp23-19.pdf (application/pdf)

Related works:
Working Paper: Urban Renewal and Inequality: Evidence from Chicago's Public Housing Demolitions (2023)
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:fip:fedpwp:96774

Ordering information: This working paper can be ordered from

DOI: 10.21799/frbp.wp.2023.19

Access Statistics for this paper

More papers in Working Papers from Federal Reserve Bank of Philadelphia Contact information at EDIRC.
Bibliographic data for series maintained by Beth Paul ().