Regulating Short-Term Rental Platforms: Where, How and in the Interest of Whom?

Sauveur Giannoni (), Malgorzata Ogonowska and Dominique Torre ()
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Sauveur Giannoni: Università di Corsica Pasquale Paoli [Université de Corse Pascal Paoli], LISA - Laboratoire « Lieux, Identités, eSpaces, Activités » (UMR CNRS 6240 LISA) - CNRS - Centre National de la Recherche Scientifique - Università di Corsica Pasquale Paoli [Université de Corse Pascal Paoli]

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Abstract: This paper analyses the impact of short-term rental platforms on the housing market and tourism industry. We develop a theoretical model to explore the effects of platform entry on different segments of the housing market and tourism industry, depending on the attractiveness of a destination and the socio-economic composition of its population. We show that in highly attractive destinations, quantitative restrictions on short term rentals are effective in protecting students and low-income tenants from being crowded out of the rental market. However, in destinations with strong seasonality, taxation may be a better solution to mitigate the negative effects of the platform. On the other hand, in less attractive destinations, quantitative restrictions are less effective, and taxation can provide a better solution to protect hoteliers and middle-class families. Our results provide policymakers with effective guidelines to regulate short-term rental platforms and their impacts on different segments of the housing market and tourism industry.

Keywords: Online; Platforms; –; Short-Term; Rentals; –; Tourism; industry; –; Regulation; in; tourism; industry; –; Airbnb (search for similar items in EconPapers)
Date: 2024-06-21
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Published in Revue d'économie politique, 2024, Vol. 134 (3), pp.485-508. ⟨10.3917/redp.343.0485⟩

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Related works:
Journal Article: Regulating Short-Term Rental Platforms: Where, How and in the Interest of Whom? (2024)
Working Paper: Regulating Short-Term Rental Platforms: Where, How and in the Interest of Whom? (2024)
Working Paper: Regulating short-term rental platforms: where, how and in the interest of whom? (2023)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-04669775

DOI: 10.3917/redp.343.0485

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