Supply constraints amplify house-price growth.

The modeled price path is lower when regulatory and physical constraints are removed.

FROM THE PAPERFigure 3 · Modeled house prices after removing supply constraints

Source: Hilber & Vermeulen (2016) · Figure 3; PDF p. 38

Keep in mind: These are instrumental-variable model counterfactuals for England, not the observed effect of one reform.

Share the evidence

The modeled price path is lower when regulatory and physical constraints are removed.

Source: Hilber & Vermeulen (2016)
Figure: Figure 3 · Modeled house prices after removing supply constraints · Figure 3; PDF p. 38
Keep in mind: These are instrumental-variable model counterfactuals for England, not the observed effect of one reform.

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