12_Is Zoning and Regulation all bad? Flashcards
What are some of the key points Schill (2005) makes about zoning and land use regulations?
Some regulations (fire codes, zoning, earthquake safety) have clear value.
Regulations raising housing prices may be problematic if they reflect increased area desirability (amenity channel).
More research is needed to determine which regulations are problematic.
How does Bunten (2017) justify zoning laws?
Zoning helps address negative externalities.
Price increases may reflect welfare improvements by mitigating congestion externalities.
One-third of gains from land use deregulation are lost due to congestion in productive locations.
What are the conflicting perspectives on zoning and how can they be reconciled?
Zoning is needed for public health and safety but varies excessively by market.
Empirical evidence suggests the supply channel drives housing price increases more than the amenity channel (Lin & Wachter, 2019).
Zoning is often justified by externalities (e.g., sunlight, traffic) but may serve exclusionary purposes.
What are the political attitudes towards zoning and new development?
Both Democrats and Republicans often vote to restrict zoning and limit new development.
“Not-In-My-Back-Yard” (NIMBY) mentality prevails.
Hypocrisy exists:
Republicans: violates free-market principles.
Democrats: contradicts support for policies aiding the poor.
