IDEAS home Printed from https://ideas.repec.org/a/sae/urbstu/v38y2001i13p2425-2437.html
   My bibliography  Save this article

A Probit Analysis of Development Control: A Hong Kong Case Study of Residential Zones

Author

Listed:
  • Lawrence W. C. Lai

    (Department of Real Estate and Construction, University of Hong Kong, 5/F Knowles Building, Pokfulam Road, Hong Kong, wclai@hkusua.hku.hk)

  • Winky K. O. Ho

    (Department of Real Estate and Construction, University of Hong Kong, 5/F Knowles Building, Pokfulam Road, Hong Kong, winkyho@graduate.hku.hk)

Abstract

This paper uses a probit model to evaluate a total of 1353 sets of cross-sectional development control (planning application) statistics not previously published for 3 classes of statutory residential zones in Hong Kong over a period of 24 years from 1975. As far as the selected zones are concerned, the findings refute the critical view that the Town Planning Board process in Hong Kong generates significant rent-seeking activities in favour of large developers. They also reject the official assertion that the decisions made by the Town Planning Board are independent of exogenous policy influence of government.

Suggested Citation

  • Lawrence W. C. Lai & Winky K. O. Ho, 2001. "A Probit Analysis of Development Control: A Hong Kong Case Study of Residential Zones," Urban Studies, Urban Studies Journal Limited, vol. 38(13), pages 2425-2437, December.
    • Handle: RePEc:sae:urbstu:v:38:y:2001:i:13:p:2425-2437
    DOI: 10.1080/00420980120094597
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1080/00420980120094597
    Download Restriction: no
    File URL: https://libkey.io/10.1080/00420980120094597?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
    ---><---

    References listed on IDEAS

    as
    1. George Ferguson, 1942. "Item selection by the constant process," Psychometrika, Springer;The Psychometric Society, vol. 7(1), pages 19-29, March.
    2. Bourassa Steven C., 1995. "A Model of Housing Tenure Choice in Australia," Journal of Urban Economics, Elsevier, vol. 37(2), pages 161-175, March.
    3. Jonathan H. Mark & Michael A. Goldberg, 1981. "Land use Controls: The Case of Zoning in the Vancouver Area," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 9(4), pages 418-435, December.
    4. Maser, Steven M & Riker, William H & Rosett, Richard N, 1977. "The Effects of Zoning and Externalities on the Price of Land: An Empirical Analysis of Monroe County, New York," Journal of Law and Economics, University of Chicago Press, vol. 20(1), pages 111-132, April.
    5. William Fischel, 1980. "Externalities and zoning," Public Choice, Springer, vol. 35(1), pages 37-43, January.
    6. Glen Bramley, 1993. "The Impact of Land Use Planning and Tax Subsidies on the Supply and Price of Housing in Britain," Urban Studies, Urban Studies Journal Limited, vol. 30(1), pages 5-30, February.
    7. Muth, Richard F. & Wetzler, Elliot, 1976. "The effect of constraints on house costs," Journal of Urban Economics, Elsevier, vol. 3(1), pages 57-67, January.
    8. Katz, Lawrence & Rosen, Kenneth T, 1987. "The Interjurisdictional Effects of Growth Controls on Housing Prices," Journal of Law and Economics, University of Chicago Press, vol. 30(1), pages 149-160, April.
    9. Courant, Paul N., 1976. "On the effect of fiscal zoning on land and housing values," Journal of Urban Economics, Elsevier, vol. 3(1), pages 88-94, January.
    10. Paul Cheshire & Stephen Sheppard, 1989. "British Planning Policy and Access to Housing: Some Empirical Estimates," Urban Studies, Urban Studies Journal Limited, vol. 26(5), pages 469-485, October.
    11. Horioka, Charles Yuji, 1988. "Tenure choice and housing demand in Japan," Journal of Urban Economics, Elsevier, vol. 24(3), pages 289-309, November.
    12. Chan, Thomas Sai-fan, 1999. "Residential Construction and Credit Market Imperfection," The Journal of Real Estate Finance and Economics, Springer, vol. 18(1), pages 125-139, January.
    13. Baumol, William J, 1972. "On Taxation and the Control of Externalities," American Economic Review, American Economic Association, vol. 62(3), pages 307-322, June.
    14. Goodman, Allen C., 1988. "An econometric model of housing price, permanent income, tenure choice, and housing demand," Journal of Urban Economics, Elsevier, vol. 23(3), pages 327-353, May.
    15. J.M. Pogodzinski & Tim R. Sass, 1991. "Measuring the Effects of Municipal Zoning Regulations: A Survey," Urban Studies, Urban Studies Journal Limited, vol. 28(4), pages 597-621, August.
    16. Crone, Theodore M., 1983. "Elements of an economic justification for municipal zoning," Journal of Urban Economics, Elsevier, vol. 14(2), pages 168-183, September.
    17. Lee, Lung-Fei & Trost, Robert P., 1978. "Estimation of some limited dependent variable models with application to housing demand," Journal of Econometrics, Elsevier, vol. 8(3), pages 357-382, December.
    18. Terry L. Anderson, 1982. "The New Resource Economics: Old Ideas and New Applications," American Journal of Agricultural Economics, John Wiley & Sons, vol. 64(5), pages 928-934, December.
    19. Thorson, James A., 1997. "The Effect of Zoning on Housing Construction," Journal of Housing Economics, Elsevier, vol. 6(1), pages 81-91, March.
    20. Anderson, Terry L., 1982. "The New Resource Economics: Old Ideas And New Applications," 1982 Annual Meeting, August 1-4, Logan, Utah 279161, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    21. David E. Mills, 1989. "Is Zoning a Negative-Sum Game?," Land Economics, University of Wisconsin Press, vol. 65(1), pages 1-12.
    22. Terry L. Anderson, 1982. "The New Resource Economics: Old Ideas and New Applications," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 64(5), pages 928-934.
    23. D. Finney, 1944. "The application of probit analysis to the results of mental tests," Psychometrika, Springer;The Psychometric Society, vol. 9(1), pages 31-39, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lawrence W.C. Lai & Winky K.O. Ho, 2002. "An econometric study of the decisions of a town planning authority: complementary & substitute uses of industrial activities in Hong Kong," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 23(3), pages 127-135.
    2. Lawrence W C Lai & Winky K O Ho, 2001. "Small is Beautiful: A Probit Analysis of Development Control of Small Houses in Hong Kong," Environment and Planning B, , vol. 28(4), pages 611-622, August.
    3. Fiorenza Spalatro & Bill Provencher, 2001. "An Analysis of Minimum Frontage Zoning to Preserve Lakefront Amenities," Land Economics, University of Wisconsin Press, vol. 77(4), pages 469-481.
    4. Stephen Mak & Lennon Choy & Winky Ho, 2012. "Region-specific Estimates of the Determinants of Real Estate Investment in China," Urban Studies, Urban Studies Journal Limited, vol. 49(4), pages 741-755, March.
    5. Michael White & Philip Allmendinger, 2003. "Land-use Planning and the Housing Market: A Comparative Review of the UK and the USA," Urban Studies, Urban Studies Journal Limited, vol. 40(5-6), pages 953-972, May.
    6. John M. Quigley & Steven Raphael & Larry A. Rosenthal, 2004. "Local Land-use Controls and Demographic Outcomes in a Booming Economy," Urban Studies, Urban Studies Journal Limited, vol. 41(2), pages 389-421, February.
    7. Gilles Grolleau & Deborah Peterson, 2015. "Biodiversity conservation through private initiative: the case of Earth Sanctuaries Ltd," European Journal of Law and Economics, Springer, vol. 40(2), pages 293-312, October.
    8. S Monk & B J Pearce & C M E Whitehead, 1996. "Land-Use Planning, Land Supply, and House Prices," Environment and Planning A, , vol. 28(3), pages 495-511, March.
    9. Ramakrishna Nallathiga, 2006. "An Evaluation of the Impact of Density Regulation on Land Markets in Mumbai," International Real Estate Review, Global Social Science Institute, vol. 9(1), pages 132-152.
    10. Isaac F. Megbolugbe & Peter D. Linneman, 1993. "Home Ownership," Urban Studies, Urban Studies Journal Limited, vol. 30(4-5), pages 659-682, May.
    11. Randhir, Timothy O. & Lee, John G., 1996. "Managing local commons in developing economies: an institutional approach," Ecological Economics, Elsevier, vol. 16(1), pages 1-12, January.
    12. Shabman, Leonard A. & Stephenson, Kurt, 1996. "Environmental Policy Reform: A Taxonomy Of Economists' Perspectives," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 28(1), pages 1-9, July.
    13. Keith R. Ihlanfeldt, 2004. "Exclusionary Land-use Regulations within Suburban Communities: A Review of the Evidence and Policy Prescriptions," Urban Studies, Urban Studies Journal Limited, vol. 41(2), pages 261-283, February.
    14. Randall, Alan, 1985. "Methodology, Id Ogy And The Economics Of Policy: Why Resource Economists Disagree," 1985 Annual Meeting, August 4-7, Ames, Iowa 278505, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    15. Jouravlev, Andrei & Lee, Terence R., 1998. "Prices, property and markets in water allocation," Medio Ambiente y Desarrollo 5735, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    16. Batie, Sandra S., 1984. "Alternative Views of Property Rights: Implication for Natural Resource Allocation," 1984 Annual Meeting, August 5-8, Ithaca, New York 278946, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    17. Justo Manrique & Kalu Ojah, 2003. "The demand for housing in Spain: an endogenous switching regression analysis," Applied Economics, Taylor & Francis Journals, vol. 35(3), pages 323-336.
    18. Pope, C. Arden III, 1989. "Alternative Opportunities for Allocating the Public Rangeland Resource," WAEA/ WFEA Conference Archive (1929-1995) 244844, Western Agricultural Economics Association.
    19. J.M. Pogodzinski & Tim R. Sass, 1991. "Measuring the Effects of Municipal Zoning Regulations: A Survey," Urban Studies, Urban Studies Journal Limited, vol. 28(4), pages 597-621, August.
    20. Zabel, Jeffrey & Dalton, Maurice, 2011. "The impact of minimum lot size regulations on house prices in Eastern Massachusetts," Regional Science and Urban Economics, Elsevier, vol. 41(6), pages 571-583.

    More about this item

    Statistics

    Access and download statistics

    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:sae:urbstu:v:38:y:2001:i:13:p:2425-2437. 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.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with 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: SAGE Publications (email available below). General contact details of provider: http://www.gla.ac.uk/departments/urbanstudiesjournal .

    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.