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Measuring Stick-Style Housing Policies: a Multi-Country Longitudinal Database of Governmental Regulations

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  • Konstantin A. Kholodilin

Abstract

This paper introduces a new international longitudinal database of governmental housing policies. The regulations are measured using binary variables based on a thorough analysis of the real-time country-specific legislation. Three major restrictive policies are considered: rent control, protection from restriction, and housing rationing. The database covers 47 countries and states between 1910 and 2018. This allows comparisons of regulation stringency across both time and space. The analysis reveals a surge of all restrictive policies in the first half of the 20th century. However, following World War II, the evolution of policies diverged: while rent control became more flexible or was phased out, tenure security stabilized at a high level or even increased, while housing rationing became used less frequently. An application of dynamic multivariate longitudinal clustering permits dividing the sample in two groups. One cluster comprises countries with more flexible rent control, stronger tenure security, and more housing rationing. It mostly includes European continental countries. Another cluster unifies countries with a more rigid rent control, weaker tenant protection, and rarely used housing rationing.

Suggested Citation

  • Konstantin A. Kholodilin, 2018. "Measuring Stick-Style Housing Policies: a Multi-Country Longitudinal Database of Governmental Regulations," Discussion Papers of DIW Berlin 1727, DIW Berlin, German Institute for Economic Research.
  • Handle: RePEc:diw:diwwpp:dp1727
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    References listed on IDEAS

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    11. Hans Lind, 2001. "Rent Regulation: A Conceptual And Comparative Analysis," European Journal of Housing Policy, Taylor and Francis Journals, vol. 1(1), pages 41-57.
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    13. Brueckner, Jan K., 2011. "Lectures on Urban Economics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262016362, April.
    14. Konstantin A. Kholodilin, 2017. "Housing Policy of Non-Bolshevik Governments During the Russian Civil War," HSE Working papers WP BRP 151/HUM/2017, National Research University Higher School of Economics.
    15. Ballesteros, Marife M. & Magtibay, Jasmine E. & Ramos, Tatum, 2016. "Rent Control in the Philippines: An Update," Discussion Papers DP 2016-40, Philippine Institute for Development Studies.
    16. Hans Lind, 2001. "Rent Regulation: A Conceptual And Comparative Analysis," International Journal of Housing Policy, Taylor & Francis Journals, vol. 1(1), pages 41-57.
    17. Shereen Attia, 2016. "Rent Control Dilemma Comeback in Egypt’s Governance: A Hedonic Approach," Working Papers 979, Economic Research Forum, revised Feb 2016.
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    Cited by:

    1. Weber, Jan Philip & Lee, Gabriel, . "On the Measure of Private Rental Market Regulation Index and its Effect on Housing Rents: Cross Country Evidence," Beiträge zur Immobilienwirtschaft, University of Regensburg, Department of Economics, number 21, August.
    2. Orsetta Causa & Nicolas Woloszko & David Leite, 2020. "Housing, Wealth Accumulation and Wealth Distribution: Evidence and Stylized Facts," LWS Working papers 30, LIS Cross-National Data Center in Luxembourg.
    3. Konstantin A. Kholodilin & Sebastian Kohl, 2020. "Does Social Policy through Rent Controls Inhibit New Construction? Some Answers from Long-Run Historical Evidence," Discussion Papers of DIW Berlin 1839, DIW Berlin, German Institute for Economic Research.
    4. Guillaume Claveres & Thomas Y. Mathä & Giuseppe Pulina & Jan Stráský & Nicolas Woloszko & Michael Ziegelmeyer, 2020. "Housing and inequality: The case of Luxembourg and its cross-border workers," BCL working papers 144, Central Bank of Luxembourg.
    5. Ligia Topan & Miguel Jerez & Sonia Sotoca, 2020. "The impact of oil prices on products groups inflation: is the effect asymmetric?," Documentos de Trabajo del ICAE 2020-02, Universidad Complutense de Madrid, Facultad de Ciencias Económicas y Empresariales, Instituto Complutense de Análisis Económico.
    6. P. Reusens & Ch. Warisse, 2018. "House prices and economic growth in Belgium," Economic Review, National Bank of Belgium, issue iv, pages 81-106, december.
    7. Friedrich Breyer & Nicole Hoffmeister-Kraut & Matthias Wrede & Harald Simons & Lars Vandrei & Theresia Theurl & Ralph Henger & Konstantin Kholodilin & Sebastian Kohl, 2018. "Scheitern der sozialen Wohnungspolitik: Wie bezahlbaren Wohnraum schaffen?," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 71(21), pages 03-30, November.
    8. Maria Chiara Cavalleri & Boris Cournède & Volker Ziemann, 2019. "Housing markets and macroeconomic risks," OECD Economics Department Working Papers 1555, OECD Publishing.
    9. Konstantin Kholodilin & Sebastian Kohl, 2019. "Verdrängung oder Sozialpolitik? Einfluss von Regulierungen auf die Wohneigentumsquote [Social Policy or Crowding-out? The Effect of Private-tenancy Regulation on Homeownership]," Wirtschaftsdienst, Springer;ZBW - Leibniz Information Centre for Economics, vol. 99(5), pages 363-366, May.

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    More about this item

    Keywords

    regulation indices; rent control; tenure security; housing rationing;
    All these keywords.

    JEL classification:

    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • R38 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Government Policy

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