IDEAS home Printed from https://ideas.repec.org/a/eee/reveco/v96y2024ipbs1059056024006026.html
   My bibliography  Save this article

Housing ownership constraint and spatial sorting

Author

Listed:
  • Yang, Xiaozhong
  • Liu, Yongjian
  • Wang, Junjie

Abstract

The paper proposes a new theoretical explanation for the spatial sorting that the skill distribution has fatter tails in big cities. The ownership of the house make people face the constraint of house’s minimum area when purchasing it, therefore, and finally induces the spatial sorting. The new theory could distinguish buying and renting houses, and identify public services attached to housing ownership and enjoyed by all people no matter who buy or rent houses. The policy implications are also different from those in previous theories: when land supply is reduced in big cities, it predicted a decrease in the number of low-skilled workers in previous theories, whereas it predicts an increase in the theory of housing ownership constraints. In big cities, public services attached to housing ownership would attract more high-skilled workers and decrease low-skilled workers, while public services enjoyed by all people would attract both of them.

Suggested Citation

  • Yang, Xiaozhong & Liu, Yongjian & Wang, Junjie, 2024. "Housing ownership constraint and spatial sorting," International Review of Economics & Finance, Elsevier, vol. 96(PB).
    • Handle: RePEc:eee:reveco:v:96:y:2024:i:pb:s1059056024006026
    DOI: 10.1016/j.iref.2024.103610
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1059056024006026
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.iref.2024.103610?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:reveco:v:96:y:2024:i:pb:s1059056024006026. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/620165 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.