Loumeau, G. and Russo, A. orcid.org/0000-0002-8837-1265 (2023) Second-hand gentrification: theory and evidence from high-speed rail extensions. Working Paper. Sheffield Economic Research Paper Series, 2023011 (2023011). Department of Economics, University of Sheffield ISSN 1749-8368
Abstract
Does gentrification spread along intercity transport connections? We consider a model with heterogeneous individuals populating a primary and a secondary city. By reducing intercity commuting costs, transport connections induce mi- gration of skilled individuals towards the secondary city, which increases housing prices. We call this effect second-hand gentrification. We confirm these predictions using the 2017 expansion of the French HSR network from Paris to Bordeaux and Rennes. We find that the HSR connection induced skilled Parisians to move to Bordeaux and Rennes. Housing prices there consequently increased (+10.6%), as well as the median income (+2.5%), and within-neighborhood income inequality (+2%).
Metadata
Item Type: | Monograph |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | © 2023 The Author(s). For reuse permissions, please contact the Author(s). The Sheffield Economic Research Paper Series (SERPS) offers a forum for the research output of the Department of Economics, University of Sheffield. Papers are reviewed for quality and presentation by two internal referees and a departmental editor. However, the contents and opinions expressed remain the responsibility of the author(s). Comments are welcomed and should be addressed to the individual author(s). |
Keywords: | Gentrification; High-Speed Rail; Housing Market; Intercity Travel |
Dates: |
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Institution: | The University of Sheffield |
Academic Units: | The University of Sheffield > Faculty of Social Sciences (Sheffield) > Department of Economics (Sheffield) > Sheffield Economics Research Papers Series The University of Sheffield > Faculty of Social Sciences (Sheffield) > Department of Economics (Sheffield) |
Depositing User: | Symplectic Sheffield |
Date Deposited: | 11 May 2023 11:58 |
Last Modified: | 11 May 2023 12:47 |
Published Version: | https://www.sheffield.ac.uk/economics/research/ser... |
Status: | Published |
Publisher: | Department of Economics, University of Sheffield |
Series Name: | Sheffield Economic Research Paper Series |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:199082 |