Working Paper: NBER ID: w17002
Authors: Siqi Zheng; Matthew E. Kahn
Abstract: In Beijing, the metropolitan government has made enormous place based investments to increase green space and to improve public transit. We examine the gentrification consequences of such public investments. Using unique geocoded real estate and restaurant data, we document that the construction of the Olympic Village and two recent major subway systems have led to increased new housing supply in the vicinity of these areas, higher local prices and an increased quantity of nearby private chain restaurants.
Keywords: gentrification; public investment; infrastructure; Beijing
JEL Codes: H41; Q51; R41
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| increased home prices (R31) | gentrification (R23) |
| new housing units (R31) | gentrification (R23) |
| new restaurants (M13) | gentrification (R23) |
| government infrastructure investments (H54) | increased home prices (R31) |
| government infrastructure investments (H54) | increase in new housing units (R31) |
| government infrastructure investments (H54) | increase in number of new restaurants (M13) |