Is planning delay really a constraint in the provision of housing? Some evidence from Israel

Ziv Rubin*, Daniel Felsenstein

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

4 Scopus citations

Abstract

This paper revisits the claim that a causal link exists between the inflexibility of land-use planning and low elasticity of housing supply. A theoretical model of factors impacting district-level planning is presented alongside a model of the impact of planning delay on housing supply. The models are estimated for the Tel Aviv district using detailed data covering a 12-year period. Results show significant impacts on planning delay due to plan, municipality and district planning commission characteristics. House prices exert a positive effect on planning speed and municipal funding acts as a supply constraint. While planning delay does not impact housing supply, delay uncertainty has a negative impact and acts as a constraint.

Original languageAmerican English
Pages (from-to)2179-2200
Number of pages22
JournalPapers in Regional Science
Volume98
Issue number5
DOIs
StatePublished - 1 Oct 2019

Bibliographical note

Publisher Copyright:
© 2019 The Author(s). Papers in Regional Science © 2019 RSAI

Keywords

  • Israeli housing market
  • housing supply
  • land-Use planning
  • spatial econometrics
  • zoning

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