A general equilibrium spatial model of housing quality and quantity

Richard Arnott*, Ralph Braid, Russell Davidson, David Pines

*Corresponding author for this work

Research output: Contribution to journalArticlepeer-review

26 Scopus citations

Abstract

This paper examines the properties of stationary-state general equilibrium in a monocentric city with durable housing. On the demand side, identical households choose location, housing quality and quantity (floor area), and other goods. On the supply side, developers choose the structural density and time path of quality (which depends on construction quality and maintenance) of buildings. Under a certain set of assumptions, existence and uniqueness of equilibrium are proved, and its comparative static/dynamic properties are determined.

Original languageEnglish
Pages (from-to)283-316
Number of pages34
JournalRegional Science and Urban Economics
Volume29
Issue number3
DOIs
StatePublished - 1 May 1999

Funding

FundersFunder number
Canada Mortgage and Housing Corporation
Foerder Institute for Economic Research
Konrad Stahl

    Keywords

    • Durable housing
    • General equilibrium
    • Monocentric city
    • Stationary state

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