Place-Based Policies and the Housing Market
We study the economic effects of place-based policies in the housing market taking into account search frictions. Theory indicates that beneficial policies increase house prices, but temporarily reduce sales times of owner-occupied properties. We investigate both effects for a place-based programme that improved public housing in 83 impoverished neighbourhoods throughout the Netherlands. We combine a first-difference approach with a fuzzy regression-discontinuity design to address the fundamental issue that these neighbourhoods are endogenously treated. Place-based policies increase house prices with 3.5 percent and, in line with theory, temporarily reduce sales times with 20 percent. The sales time effect dissipates within 7.5 years. The programme’s welfare benefits to homeowners are sizeable and at least half of the value of investments in public housing.
The paper is devoted to a problem of a regulation institutions design for the Russian sector of residential construction in terms of effects on a government policy to provide population by available and comfort housing. Focus is given to marginal costs of one square meter residential construction. This marginal price is fixed by Ministry for Regional Development to activate region authorities for removing off dilapidated and damaged residential construction. The next major criteria should be taken to assess effects from regulative/fixed marginal prices: (a) regional government activities at housing market (regional authorities as buyers); (b) regional government activities at housing market (regional authorities as residential constructers); (c) enforcement to reduce housing costs. The paper explores statistical data of one of the Russian region - Republic Sakha (Yakutia). Analysis of regional factors made housing more expansive in comparison with other regions is given. Maid conclusion says that fixed marginal price does not report a correct information concerning full residential construction costs, does not take into account regional factors effected to construction costs. There are institutional and as a consequence financial barriers to activate regional authorities to construct or purchase housing for accelerating a population removal from dilapidated and damaged residential construction.
This paper looks at the urban development of transition countries in 1991–2010, primarily focusing on the last decade. Cities in transition face a unique set of challenges that came forth due to interplay of the legacy of socialist urban policies and the transition to the market economy. The socialist urban policies restrained growth of the largest cities and distorted the spatial equilibrium towards more uniform distribution of urban population. The transition to the market economy reduces distortions, but the convergence is slow. Housing market rigidities, inadequate urban infrastructure, and inconsistent government policies prevent people from moving to the largest cities.
The present study analyzes the investment attractiveness of regional housing markets and housing markets of cities with a population of over 100 thousand people. The analysis of regional housing markets identified the following market groups as more attractive for investment in different segments of residential construction. It is shown that large cities and rapidly developing metropolises determine the investment attractiveness of the region’s housing markets.
This chapter is devoted to the analysis of the impact of the global financial crisis on the nascent housing market in Russia, which started developing less than 10 years ago. At the same time we make an attempt to estimate whether there were "bubbles" in this market. This chapter has the following structure.
It starts with an overview of the housing sector in Russia before the meltdown and analysis of the evolution of housing property rights. Next we look at both the supply side (housing stock and new construction) and the demand side of the situation in housing market before 2009. The section ends with a summary description of the situation in housing mortgage finance and affordability of housing, which is a big challenge for a developing housing market.
The second section analyzes the impact of the global financial crisis on the mortgage sector in Russia and highlights new trends in the housing sector. We focus on government anti-crisis measures in the housing market and the role of government-sponsored organizations. Two main areas of government intervention in the housing and mortgage markets are analyzed: state support of mortgage borrowers and the housing construction industry.
Next we raise the issue of the presence of housing bubble in Russia and analyze main determinants of housing price trends and their impact on housing market.
The chapter concludes with an outline of the housing and housing mortgage markets in Russia.
Smoking is a problem, bringing signifi cant social and economic costs to Russiansociety. However, ratifi cation of the World health organization Framework conventionon tobacco control makes it possible to improve Russian legislation accordingto the international standards. So, I describe some measures that should be taken bythe Russian authorities in the nearest future, and I examine their effi ciency. By studyingthe international evidence I analyze the impact of the smoke-free areas, advertisementand sponsorship bans, tax increases, etc. on the prevalence of smoking, cigaretteconsumption and some other indicators. I also investigate the obstacles confrontingthe Russian authorities when they introduce new policy measures and the public attitudetowards these measures. I conclude that there is a number of easy-to-implementanti-smoking activities that need no fi nancial resources but only a political will.
One of the most important indicators of company's success is the increase of its value. The article investigates traditional methods of company's value assessment and the evidence that the application of these methods is incorrect in the new stage of economy. So it is necessary to create a new method of valuation based on the new main sources of company's success that is its intellectual capital.