The Supply of Rental Housing: Comment.
This article presents the author's comments on the article The Supply of Rental Housing, by Frank de Leeuw and Nkanta Ekanem (L-E), which appeared in the December 1971 issue. De Leeuw and Ekanem proposed to determine whether the marginal cost of housing is constant or rising as a function of the amo...
| Publicado en: | American Economic Review Vol. 63; no. 3; pp. 433 - 437 |
|---|---|
| Autor principal: | |
| Formato: | Artículo |
| Publicado: |
American Economic Association
Jun73
|
| Materias: | |
| Acceso en línea: | Ver este registro en EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=4507847&site=ehost-live header: @attributes: shortDbName: hlh uiTerm: 4507847 longDbName: Humanities International Complete uiTag: AN controlInfo: bkinfo: jinfo: jid: 00028282 AER jtl: American Economic Review issn: 00028282 maglogo: N pubinfo: dt: Jun73 vid: 63 iid: 3 pid: 22 pub: American Economic Association artinfo: ui: 4507847 ppf: 433 ppct: 4 formats: tig: atl: The Supply of Rental Housing: Comment. aug: au: Grieson, Ronald E. affil: Assistant professor of economics, Queens College, City University of New York su: Rental housing Housing Public housing Human settlements Basic needs sug: subj: Rental housing Housing Public housing Human settlements Basic needs ab: This article presents the author's comments on the article The Supply of Rental Housing, by Frank de Leeuw and Nkanta Ekanem (L-E), which appeared in the December 1971 issue. De Leeuw and Ekanem proposed to determine whether the marginal cost of housing is constant or rising as a function of the amount of housing services provided in an area. I propose to show that a nonrising supply curve is inconsistent with positive long-run land prices and to show that the housing supply elasticities developed by the authors, calculated from reduced form equations, are very sensitive to the specification of the true supply and demand functions. An alternative and perhaps more reasonable a priori specification is herein set out which is then used to calculate much different elasticities of supply. First we have briefly explained why recent theoretical findings show the L-E hypothesis of constant cost of increasing the amount of housing services on a given land area is inconsistent with the existence of positive land values. We have gone on to suggest the use of housing structures per unit land as a variable which should have been used to reflect the above fact. Secondly, we pose two reasonable alternative specifications of the supply function which would yield reduced form equations of a type estimated by L-E. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: Y dt: @attributes: year: 1973 holdings: @attributes: islocal: N |
|---|