Municipal amalgamations and local housing prices
| Autor: | Vífill Karlsson, Grétar Thór Eythórsson |
|---|---|
| Rok vydání: | 2022 |
| Předmět: |
Landscaping and area planning
Economics and Econometrics Städtebau Raumplanung Landschaftsgestaltung Wohnungsmarkt Immobilien real estate Geography Planning and Development Raumplanung und Regionalforschung Area Development Planning Regional Research Iceland local politics costs Wohnen Strukturreform price Preis Island Kommunalpolitik Kosten housing market municipal administration structural reform residential behavior Kommunalverwaltung ddc:710 |
| Zdroj: | Region: the journal of ERSA |
| Popis: | In this paper, we examine the relationship between housing prices and municipal amalgamations. Due to consumer preference for access over amenity value, there is a spatial disparity of housing prices, reflecting the value of land in specific locations. According to \citet{tiebout1956} local amenity values will increase if the services of a municipality improve without a comparable rise in taxes or service fees, or if taxes or service fees decrease while the service level remains the same. The bid-rent curve is a framework frequently used to capture a presence of goods or bads such as amenities, disamenities, and externalities. Accordingly, the present study will be used to detect a possible social benefit or loss following amalgamations of municipalities. Macro panel data from Iceland will be used, representing several essential variables of the house market for 79 municipalities in Iceland during the period from 1992 through 2006. The research shows a significant positive relationship, ceteris paribus, between regional municipal amalgamations and local real prices of apartments. |
| Databáze: | OpenAIRE |
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