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Bridging policy and prices: Causal evidence of housing renovation subsidies on property values in Italy
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-03-18 DOI: 10.1016/j.regsciurbeco.2025.104095
Marta Crispino, Michele Loberto
This paper investigates the impact of a government renovation subsidy program on housing prices, with a focus on the Italian region of Piemonte. We exploit a spatial discontinuity in the eligibility criteria for a tax credit targeting anti-seismic renovations and employ a difference-in-differences methodology to assess the policy’s effects. Our findings show that prices of apartments eligible for the subsidy increased by 3.2 percent more compared to those of ineligible properties. This increase rises to 11.2 percent when considering only single-family detached homes.
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引用次数: 0
Immigrants and entrepreneurship: A road for talent or just the only road?
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-03-07 DOI: 10.1016/j.regsciurbeco.2025.104093
Susana Iranzo
The available evidence suggests that migrant entrepreneurs contribute to a country’s growth and innovation, but entrepreneurship might also be chosen by less talented migrants who have limited chances in the labor market. This paper develops a theoretical framework that features specific constraints migrants face to better understand the mechanisms at play in their occupational choices. I test the model predictions using data for Spain right after the migration boom occurred from the mid-1990s to the mid-2000s. I find that human capital losses upon arrival are largely responsible for the low propensities to self-employment of the three largest migrant groups (Romanians, Moroccans and Ecuadorians) observed in the data. Also, I find no evidence of negative sorting into self-employment. Yet, the relatively large self-employment rate of Moroccans, once human capital is properly accounted for, and their low entrepreneurial quality is consistent with this group of migrants being subject to penalties in the labor market associated to information problems that push them into self-employment.
{"title":"Immigrants and entrepreneurship: A road for talent or just the only road?","authors":"Susana Iranzo","doi":"10.1016/j.regsciurbeco.2025.104093","DOIUrl":"10.1016/j.regsciurbeco.2025.104093","url":null,"abstract":"<div><div>The available evidence suggests that migrant entrepreneurs contribute to a country’s growth and innovation, but entrepreneurship might also be chosen by less talented migrants who have limited chances in the labor market. This paper develops a theoretical framework that features specific constraints migrants face to better understand the mechanisms at play in their occupational choices. I test the model predictions using data for Spain right after the migration boom occurred from the mid-1990s to the mid-2000s. I find that human capital losses upon arrival are largely responsible for the low propensities to self-employment of the three largest migrant groups (Romanians, Moroccans and Ecuadorians) observed in the data. Also, I find no evidence of negative sorting into self-employment. Yet, the relatively large self-employment rate of Moroccans, once human capital is properly accounted for, and their low entrepreneurial quality is consistent with this group of migrants being subject to penalties in the labor market associated to information problems that push them into self-employment.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"112 ","pages":"Article 104093"},"PeriodicalIF":3.5,"publicationDate":"2025-03-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143685162","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Does it take extra skills to work in a large city?
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-27 DOI: 10.1016/j.regsciurbeco.2025.104094
Harm Jan Rouwendal, Sierdjan Koster
This paper explores the relationship between job complexity and agglomeration. For this, we assess whether vacancies in larger cities require more skills than vacancies for similar jobs elsewhere. The use of online job vacancy data allows us to empirically analyse the spatial variation in skill requirements within occupations. Results show that jobs in dense areas require extra skills compared to similar jobs in sparsely populated areas. Moreover, we show that jobs in large cities require a more diverse skill set. This indicates that urban jobs are more complex. These findings help explain the productivity premium of cities and spatial inequalities between urban and rural labour markets.
{"title":"Does it take extra skills to work in a large city?","authors":"Harm Jan Rouwendal,&nbsp;Sierdjan Koster","doi":"10.1016/j.regsciurbeco.2025.104094","DOIUrl":"10.1016/j.regsciurbeco.2025.104094","url":null,"abstract":"<div><div>This paper explores the relationship between job complexity and agglomeration. For this, we assess whether vacancies in larger cities require more skills than vacancies for similar jobs elsewhere. The use of online job vacancy data allows us to empirically analyse the spatial variation in skill requirements within occupations. Results show that jobs in dense areas require extra skills compared to similar jobs in sparsely populated areas. Moreover, we show that jobs in large cities require a more diverse skill set. This indicates that urban jobs are more complex. These findings help explain the productivity premium of cities and spatial inequalities between urban and rural labour markets.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"112 ","pages":"Article 104094"},"PeriodicalIF":3.5,"publicationDate":"2025-02-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143549547","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Health facility quality peer effects: Are financial incentives necessary?
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-21 DOI: 10.1016/j.regsciurbeco.2025.104091
Finn McGuire , Rita Santos , Peter C. Smith , Nicholas Stacey , Ijeoma Edoka , Noemi Kreif
This paper examines peer effects in health facility quality in South Africa. Specifically, we investigate whether health facilities adapt their quality in response to changes in the quality of peer facilities, even in the absence of material incentives for doing so. Using a national census of public primary health facilities, we exploit data on structural and process components of quality, examining how these measures change from 2015 to 2017. We examine facilities strategic interactions using both a spatial econometrics approach and a more traditional quasi-experimental approach exploiting a quality improvement program as a source of exogeneous variation to estimate the response of facilities to changes in the quality of their peers. We find evidence of quality peer effects between primary health care facilities, with a 10-unit increase in average District facility quality causing facilities to increase their quality by 3.6 units. Given the lack of financial incentives, we propose prosocial motivation and reputational concerns as the mechanism inducing facilities to respond to changes in peer quality. This finding is consistent with recent literature which has stressed the role measurement and public reporting can play in improving public service, and particularly health care, provision. Importantly, our findings have significant policy implications suggesting the provision of relative performance information, allowing for peer comparisons, can induce a form of quality yardstick competition and be a credible quality improvement policy which may be considered alongside health financing reforms.
{"title":"Health facility quality peer effects: Are financial incentives necessary?","authors":"Finn McGuire ,&nbsp;Rita Santos ,&nbsp;Peter C. Smith ,&nbsp;Nicholas Stacey ,&nbsp;Ijeoma Edoka ,&nbsp;Noemi Kreif","doi":"10.1016/j.regsciurbeco.2025.104091","DOIUrl":"10.1016/j.regsciurbeco.2025.104091","url":null,"abstract":"<div><div>This paper examines peer effects in health facility quality in South Africa. Specifically, we investigate whether health facilities adapt their quality in response to changes in the quality of peer facilities, even in the absence of material incentives for doing so. Using a national census of public primary health facilities, we exploit data on structural and process components of quality, examining how these measures change from 2015 to 2017. We examine facilities strategic interactions using both a spatial econometrics approach and a more traditional quasi-experimental approach exploiting a quality improvement program as a source of exogeneous variation to estimate the response of facilities to changes in the quality of their peers. We find evidence of quality peer effects between primary health care facilities, with a 10-unit increase in average District facility quality causing facilities to increase their quality by 3.6 units. Given the lack of financial incentives, we propose prosocial motivation and reputational concerns as the mechanism inducing facilities to respond to changes in peer quality. This finding is consistent with recent literature which has stressed the role measurement and public reporting can play in improving public service, and particularly health care, provision. Importantly, our findings have significant policy implications suggesting the provision of relative performance information, allowing for peer comparisons, can induce a form of quality yardstick competition and be a credible quality improvement policy which may be considered alongside health financing reforms.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"112 ","pages":"Article 104091"},"PeriodicalIF":3.5,"publicationDate":"2025-02-21","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143609623","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Equal price for equal place? Demand-driven racial discrimination in the housing market
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-18 DOI: 10.1016/j.regsciurbeco.2025.104089
Anthony Lepinteur , Giorgia Menta , Sofie R. Waltl
We presented participants to an online study in Luxembourg with fictitious real-estate advertisements, tasking them to appraise the described properties. A random subset was also shown sellers’ surnames, strongly framed to signal their origins. All else equal, sellers with sub-Saharan African surnames were systematically offered lower prices — amounting to an appraisal penalty of EUR 20,000. This figure is highly heterogeneous and can amount up to around EUR 58,000 for older and low-educated participants. We provide evidence that the appraisal bias likely passes through onto final sales prices and that it may be largely due to statistical rather than taste-based discrimination.
{"title":"Equal price for equal place? Demand-driven racial discrimination in the housing market","authors":"Anthony Lepinteur ,&nbsp;Giorgia Menta ,&nbsp;Sofie R. Waltl","doi":"10.1016/j.regsciurbeco.2025.104089","DOIUrl":"10.1016/j.regsciurbeco.2025.104089","url":null,"abstract":"<div><div>We presented participants to an online study in Luxembourg with fictitious real-estate advertisements, tasking them to appraise the described properties. A random subset was also shown sellers’ surnames, strongly framed to signal their origins. All else equal, sellers with sub-Saharan African surnames were systematically offered lower prices — amounting to an appraisal penalty of EUR 20,000. This figure is highly heterogeneous and can amount up to around EUR 58,000 for older and low-educated participants. We provide evidence that the appraisal bias likely passes through onto final sales prices and that it may be largely due to statistical rather than taste-based discrimination.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"111 ","pages":"Article 104089"},"PeriodicalIF":3.5,"publicationDate":"2025-02-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143480671","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Voluntary retirement savings in China: A spatial ordered probit approach
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-02-03 DOI: 10.1016/j.regsciurbeco.2025.104090
Yong Bao , Timothy N. Bond , Ruiting Sun , Xueping Xiong
This paper employs a spatial ordered probit model to study people’s voluntary retirement savings decisions using survey data collected in 2017 in China, where savings are recorded in a set of discrete ordered categories. To account for spillover effects and cross-sectional correlations, induced by for example omitted factors, we construct spatial connectivity matrices based on age and education for people located in the same province. We estimate the model using a Bayeisan scheme and discuss how to calculate various marginal effects, including those from nonstandard covariates like squared, binary, and multicategorical variables. Our empirical results indicate strong evidence of positive correlation in voluntary retirement savings decisions among high-income and low-income workers in both rural and urban areas. We find that participation in the government-managed basic pension is the strongest predictor of having high voluntary retirement savings, while the effects of income and gender vary across income-area groups.
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引用次数: 0
Work-from-home and cities: An elementary spatial model
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-01-23 DOI: 10.1016/j.regsciurbeco.2025.104086
Jan K. Brueckner
This paper analyzes the urban impacts of hybrid WFH in the simplest possible model, relying on Leontief utility and production functions and other simplifying assumptions. The analysis shows that introduction of WFH raises both the wage and household land consumption (raising worker utility) while shrinking the size of the business district and reducing business land rent. When WFH requires home work space, the city’s overall spatial size increases, with residential rents rising in the suburbs while falling near the center. The decline in business rent and the rotation of the residential rent contour match empirical evidence showing that WFH reduces office-building values and flattens the residential rent gradient.
{"title":"Work-from-home and cities: An elementary spatial model","authors":"Jan K. Brueckner","doi":"10.1016/j.regsciurbeco.2025.104086","DOIUrl":"10.1016/j.regsciurbeco.2025.104086","url":null,"abstract":"<div><div>This paper analyzes the urban impacts of hybrid WFH in the simplest possible model, relying on Leontief utility and production functions and other simplifying assumptions. The analysis shows that introduction of WFH raises both the wage and household land consumption (raising worker utility) while shrinking the size of the business district and reducing business land rent. When WFH requires home work space, the city’s overall spatial size increases, with residential rents rising in the suburbs while falling near the center. The decline in business rent and the rotation of the residential rent contour match empirical evidence showing that WFH reduces office-building values and flattens the residential rent gradient.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"111 ","pages":"Article 104086"},"PeriodicalIF":3.5,"publicationDate":"2025-01-23","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143163040","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Administrative areas and regional identity formation: The case of East Germany
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-01-22 DOI: 10.1016/j.regsciurbeco.2025.104088
Stefanie Gäbler , Kim Leonie Kellermann
Changing regional administrative structures may have unintended consequences for citizens’ identification with their respective regions. We exploit a historical quasi-experiment to provide novel evidence on the formation of sub-national identities with changing administrative boundaries. During the German Reunification in 1990, federal states in East Germany were re-established. Some counties were located at the intersection of former GDR districts and historical federal states, creating uncertainty about their future state affiliation. Using a difference-in-differences approach, we show that in counties with initially unclear state affiliation, voter turnout in state elections after 1990 decreases by up to 2.5 percentage points. Turnout in national and local elections does not show significant difference. We argue that the uncertainty about their regional affiliation diminished citizens’ political engagement by undermining their identification with the federal state level.
{"title":"Administrative areas and regional identity formation: The case of East Germany","authors":"Stefanie Gäbler ,&nbsp;Kim Leonie Kellermann","doi":"10.1016/j.regsciurbeco.2025.104088","DOIUrl":"10.1016/j.regsciurbeco.2025.104088","url":null,"abstract":"<div><div>Changing regional administrative structures may have unintended consequences for citizens’ identification with their respective regions. We exploit a historical quasi-experiment to provide novel evidence on the formation of sub-national identities with changing administrative boundaries. During the German Reunification in 1990, federal states in East Germany were re-established. Some counties were located at the intersection of former GDR districts and historical federal states, creating uncertainty about their future state affiliation. Using a difference-in-differences approach, we show that in counties with initially unclear state affiliation, voter turnout in state elections after 1990 decreases by up to 2.5 percentage points. Turnout in national and local elections does not show significant difference. We argue that the uncertainty about their regional affiliation diminished citizens’ political engagement by undermining their identification with the federal state level.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"111 ","pages":"Article 104088"},"PeriodicalIF":3.5,"publicationDate":"2025-01-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143163037","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"OA","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Leases over real property
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-01-18 DOI: 10.1016/j.regsciurbeco.2025.104087
Dylan R. Clarke
This paper develops a model in which housing incurs a property damage for which the tenant must sue in order to be made whole. The model is analyzed under both market rents and rent control regimes, as well as for tenants with limited wealth, bilateral (tenant) investment, coinsurance, and rent abatement. The model facilitates the evaluation of several policies, such as rent control, landlord–tenant laws, income redistribution, tenant’s insurance, and rent abatement. The model makes several predictions which are consistent with empirical findings in housing economics, such as why the poor occupy housing of worse condition and how laws shifting liability onto the landlord increase the quality of housing for poor tenants as well as increase rent prices. It also nests classic hypotheses, such as the Calabresi’s efficiency of strict liability rules and the least cost avoider, in addition to clarifications on Friedman’s prediction that rent control decreases investment.
{"title":"Leases over real property","authors":"Dylan R. Clarke","doi":"10.1016/j.regsciurbeco.2025.104087","DOIUrl":"10.1016/j.regsciurbeco.2025.104087","url":null,"abstract":"<div><div>This paper develops a model in which housing incurs a property damage for which the tenant must sue in order to be made whole. The model is analyzed under both market rents and rent control regimes, as well as for tenants with limited wealth, bilateral (tenant) investment, coinsurance, and rent abatement. The model facilitates the evaluation of several policies, such as rent control, landlord–tenant laws, income redistribution, tenant’s insurance, and rent abatement. The model makes several predictions which are consistent with empirical findings in housing economics, such as why the poor occupy housing of worse condition and how laws shifting liability onto the landlord increase the quality of housing for poor tenants as well as increase rent prices. It also nests classic hypotheses, such as the Calabresi’s efficiency of strict liability rules and the least cost avoider, in addition to clarifications on Friedman’s prediction that rent control decreases investment.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"111 ","pages":"Article 104087"},"PeriodicalIF":3.5,"publicationDate":"2025-01-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143163033","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
Neighborhood impacts on human capital accumulation of adolescents and young adults in Montevideo
IF 3.5 2区 经济学 Q1 ECONOMICS Pub Date : 2025-01-17 DOI: 10.1016/j.regsciurbeco.2025.104085
Santiago Acerenza , Nestor Gandelman , Daniel Misail
This paper explores the causal impacts of the neighborhood of residence on education outcomes for adolescents and young adults (15–24 years old) in Montevideo. We analyze educational trends from 1992 to 2019, revealing persistence and pronounced geographical segmentation between the affluent southeast and the more disadvantaged outskirts of the city. We model the neighborhood effects through the neighborhood average education level. We estimate their causal impact using a control function for addressing selection on unobservables. We find statistically significant results of a relatively large magnitude. We address heterogeneity of the effects and find that neighborhood effects are stronger for boys than girls, that family income buffers neighborhood effects, and that household education level and neighborhood education level are complements.
{"title":"Neighborhood impacts on human capital accumulation of adolescents and young adults in Montevideo","authors":"Santiago Acerenza ,&nbsp;Nestor Gandelman ,&nbsp;Daniel Misail","doi":"10.1016/j.regsciurbeco.2025.104085","DOIUrl":"10.1016/j.regsciurbeco.2025.104085","url":null,"abstract":"<div><div>This paper explores the causal impacts of the neighborhood of residence on education outcomes for adolescents and young adults (15–24 years old) in Montevideo. We analyze educational trends from 1992 to 2019, revealing persistence and pronounced geographical segmentation between the affluent southeast and the more disadvantaged outskirts of the city. We model the neighborhood effects through the neighborhood average education level. We estimate their causal impact using a control function for addressing selection on unobservables. We find statistically significant results of a relatively large magnitude. We address heterogeneity of the effects and find that neighborhood effects are stronger for boys than girls, that family income buffers neighborhood effects, and that household education level and neighborhood education level are complements.</div></div>","PeriodicalId":48196,"journal":{"name":"Regional Science and Urban Economics","volume":"111 ","pages":"Article 104085"},"PeriodicalIF":3.5,"publicationDate":"2025-01-17","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"143163039","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
引用次数: 0
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Regional Science and Urban Economics
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