Scholarly Comments on Academic Economics

A Critique of an Urban Studies Article on the Housing Supply Impact of Land Use Reforms

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98 article downloads
169 complete issue downloads
Total: 267

Abstract

In 2023, Urban Studies published an article titled “Land-Use Reforms and Housing Costs: Does Allowing for Increased Density Lead to Greater Affordability?” The article seeks to measure the relationship between local zoning reforms and housing supply. The authors use machine-learning classification of newspaper articles to identify 180 “major” land-use reforms across eight U.S. metropolitan areas. “The study concludes that “less restrictive” reforms (i.e., liberalizations) are associated with only a 0.8 percent increase in housing stock within three to nine years. Our detailed review reveals that 60 of the 180 articles should be excluded due to duplication, incorrect geographic attribution, or policies beyond the study’s stated scope, in that they affected only commercial or industrial areas or properties. Among the remaining 120 articles, we assess that 118 are either misclassified in direction (more vs. less restrictive), not municipality-wide, major reforms, or were insufficiently described to determine the policy direction. We found only two of the 180 articles that plausibly qualify as “major” reforms, but we believe that their effects are not readily measurable using with the study’s methodology. Consequently, our assessment is that the authors’ conclusion that liberalizations increased the housing stock by only 0.8 percent within three to nine years is so flawed as to make it unreliable. By contrast, detailed case studies—based on verified ordinances and long-term analysis—demonstrate that by-right zoning reforms that are kept short and simple can expand housing supply by 1–2.5 percent per year.

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Volume (Issue)
Pages
88–134
Published
JEL classification
D61, H79, O18, R38, R52
Keywords
affordable housing, housing, land use, zoning, liberalization, yimby
Downloads
98 article downloads
169 complete issue downloads
Total: 267

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