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Household size and city structure

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  • Theis Theisen

Abstract

Household size has decreased considerably over time. We use a theoretical model for investigating the relationship between household size and the size and internal structure of a city. In a stylized model, single-person households occupy in equilibrium the central parts of the city, while two-person households live in the less central parts. Differences in incomes and costs of transportation drive the results. Using a numerical example we find that a city with an exogenous population shrinks in geographical extension if the share of single-person households increases. The theoretical results are confirmed by data from two selected cities.

Suggested Citation

  • Theis Theisen, 2011. "Household size and city structure," ERES eres2011_231, European Real Estate Society (ERES).
    • Handle: RePEc:arz:wpaper:eres2011_231
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    References listed on IDEAS

    as
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    JEL classification:

    • R3 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location

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