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Rent Control and Prices of Owner‐occupied Housing
Author(s) -
Haèckner Jonas,
Nyberg Sten
Publication year - 2000
Publication title -
scandinavian journal of economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.725
H-Index - 64
eISSN - 1467-9442
pISSN - 0347-0520
DOI - 10.1111/1467-9442.00202
Subject(s) - economics , control (management) , quality (philosophy) , rent seeking , ceiling (cloud) , house price , labour economics , monetary economics , law , politics , philosophy , physics , management , epistemology , meteorology , political science
We examine the relation between rent control and prices of owner‐occupied housing in the presence of different qualities of housing. While a rent ceiling and the price of condominiums are substitutes if housing is undifferentiated, it is shown that this is not necessarily the case when housing differs in quality. A complete dismantling of rent control may in fact increasethe price of condominiums. JEL Classification D45; D49; R21