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Quantifying Misallocation of Public Housing

Author

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  • Jennifer Buurma-Olsen

    (CPB Netherlands Bureau for Economic Policy Analysis)

  • Jort Sinninghe Damsté

    (CPB Netherlands Bureau for Economic Policy Analysis)

Abstract

We investigate how public housing in the Netherlands is distributed among households, and explore the role of the applied non-market allocation mechanism (regionally centralised waiting lists). To this end, we compare the actual allocation of public housing to an alternative allocation according to willingness to pay. Older households, larger households, and households born in the region in which they live appear to inhabit larger and more valuable homes than would be the case if the housing were allocated according to willingness to pay. This is coupled with lower housing consumption for younger households, single-person households and households from outside the region.

Suggested Citation

  • Jennifer Buurma-Olsen & Jort Sinninghe Damsté, 2023. "Quantifying Misallocation of Public Housing," CPB Discussion Paper 454, CPB Netherlands Bureau for Economic Policy Analysis.
  • Handle: RePEc:cpb:discus:454
    DOI: 10.34932/1ww2-tn72
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    References listed on IDEAS

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    3. Chen, Yan & Sonmez, Tayfun, 2004. "An experimental study of house allocation mechanisms," Economics Letters, Elsevier, vol. 83(1), pages 137-140, April.
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    More about this item

    JEL classification:

    • R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General

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