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Urban land use, sorting, and population density: A continuous logit model

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  • Wrede, Matthias

Abstract

This paper analyzes land use, sorting, and population density in a polycentric city. To this end, the paper develops a continuous spatial choice logit model of a closed polycentric city with multiple income classes and endogenous land use where households select their workplace and residence locations probabilistically. In contrast to the classic urban model with deterministic location choices, the continuous logit model predicts incomplete segregation of citizens who work in different business centers, and, therefore, cross commuting. The relative size of income elasticity of both land demand and commuting costs determines income sorting of individuals working in a particular business district. Due to heterogeneous preferences for residence locations and workplaces, this may not hold for the aggregate spatial pattern of multiple income classes. Finally, individual land use may decrease as distance between workplace and residence increases.

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  • Wrede, Matthias, 2017. "Urban land use, sorting, and population density: A continuous logit model," Transportation Research Part B: Methodological, Elsevier, vol. 101(C), pages 283-294.
    • Handle: RePEc:eee:transb:v:101:y:2017:i:c:p:283-294
    DOI: 10.1016/j.trb.2017.04.010
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    More about this item

    Keywords

    Urban spatial equilibrium; Polycentric city; Continuous spatial choice logit model; Cross commuting; Endogenous land use; Population density; Sorting;
    All these keywords.

    JEL classification:

    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns

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