Working Paper: NBER ID: w17458
Authors: William J. Collins; Katharine L. Shester
Abstract: We study the local effects of a federal program that helped cities clear areas for redevelopment, rehabilitate structures, complete city plans, and enforce building codes. We use an instrumental variable strategy to estimate the program's effects on city-level measures of income, property values, employment and poverty rates, and population. The estimated effects on income, property values, and population are positive and economically significant. They are not driven by changes in demographic composition. Estimated effects on poverty reduction and employment are positive but imprecise. The results are consistent with a model in which local productivity is enhanced.
Keywords: urban renewal; slum clearance; federal programs; economic outcomes; property values
JEL Codes: H7; K0; N12; R0
Edges that are evidenced by causal inference methods are in orange, and the rest are in light blue.
| Cause | Effect |
|---|---|
| urban renewal program (R38) | median property values (R31) |
| urban renewal program (R38) | median income (D31) |
| urban renewal program (R38) | population growth (J11) |
| timing of state enabling legislation (C41) | urban renewal funding (R38) |
| urban renewal funding (R38) | economic outcomes (F61) |
| urban renewal program (R38) | local economic growth (O29) |
| urban renewal program (R38) | enhanced productivity (O49) |
| urban renewal program (R38) | local investment (F21) |