Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies
Autor(a) principal: | |
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Data de Publicação: | 2022 |
Outros Autores: | , , , , |
Tipo de documento: | Artigo |
Idioma: | eng |
Título da fonte: | Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
Texto Completo: | http://hdl.handle.net/10400.1/18731 |
Resumo: | The search for a pleasant home has concerned people ever since. Paradoxically, people are facing strong difficulties in finding a decent place to settle their lives in cities. As such, the housing market regained momentum in connection with the development of Smart Cities, where life quality of residents is strongly emphasized. Well-being in the metropolis is affected by a wide variety of factors with housing supply being among the most important, hence stirred by financing costs, construction costs, vacancy rate, sales delay, inflation rate, housing stock, price of agricultural land, and regulation. The present article reviews empirical studies on housing supply for a better understanding of the dynamics in this market, shedding some light on the expectable outcomes of policy actions in the promotion of sustainable housing towards the smart city transition. Our review shows that the long-run price elasticity of housing supply is larger than the short-run, as well as the existence of substantial differences in the price elasticity across countries and regions. As such, overall, the hypothesis of a perfectly elastic supply is rejected. In addition, our review highlights that housing supply is negatively related to financial costs, inflation, sales delay, and the existence of regulatory or physical constraints. Also, the elasticity is lower when there are regulatory constraints. Newfangled strategic interaction models, though overlooked in the literature, reinforce that housing does not fit the perfect competition frame. The review proves that we are in face of a non-competitive market in which policy intervention is required to maximize social welfare; policy packages to grant people access to the housing market may be required. However, policy interventions should be carefully designed and clear, to mitigate their potentially negative impact on the housing supply as adverse results may be harmful to the transition towards a smart city. |
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Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studiesHousing supplyPrice elasticity of supplySmart citiesStrategic interaction modelsThe search for a pleasant home has concerned people ever since. Paradoxically, people are facing strong difficulties in finding a decent place to settle their lives in cities. As such, the housing market regained momentum in connection with the development of Smart Cities, where life quality of residents is strongly emphasized. Well-being in the metropolis is affected by a wide variety of factors with housing supply being among the most important, hence stirred by financing costs, construction costs, vacancy rate, sales delay, inflation rate, housing stock, price of agricultural land, and regulation. The present article reviews empirical studies on housing supply for a better understanding of the dynamics in this market, shedding some light on the expectable outcomes of policy actions in the promotion of sustainable housing towards the smart city transition. Our review shows that the long-run price elasticity of housing supply is larger than the short-run, as well as the existence of substantial differences in the price elasticity across countries and regions. As such, overall, the hypothesis of a perfectly elastic supply is rejected. In addition, our review highlights that housing supply is negatively related to financial costs, inflation, sales delay, and the existence of regulatory or physical constraints. Also, the elasticity is lower when there are regulatory constraints. Newfangled strategic interaction models, though overlooked in the literature, reinforce that housing does not fit the perfect competition frame. The review proves that we are in face of a non-competitive market in which policy intervention is required to maximize social welfare; policy packages to grant people access to the housing market may be required. However, policy interventions should be carefully designed and clear, to mitigate their potentially negative impact on the housing supply as adverse results may be harmful to the transition towards a smart city.MDPISapientiaGarcês, PedroPires, Cesaltina PachecoCosta, JoanaJorge, Sílvia FerreiraCatalão-Lopes, MargaridaAlventosa, Adriana2023-01-04T13:42:59Z2022-10-272022-12-22T14:35:19Z2022-10-27T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10400.1/18731engSmart Cities 5 (4): 1488-1507 (2022)10.3390/smartcities50400762624-6511info:eu-repo/semantics/openAccessreponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos)instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãoinstacron:RCAAP2023-07-24T10:31:01Zoai:sapientia.ualg.pt:10400.1/18731Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireopendoar:71602024-03-19T20:08:27.657494Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informaçãofalse |
dc.title.none.fl_str_mv |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
title |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
spellingShingle |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies Garcês, Pedro Housing supply Price elasticity of supply Smart cities Strategic interaction models |
title_short |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
title_full |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
title_fullStr |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
title_full_unstemmed |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
title_sort |
Disentangling housing supply to shift towards Smart Cities: analysing theoretical and empirical studies |
author |
Garcês, Pedro |
author_facet |
Garcês, Pedro Pires, Cesaltina Pacheco Costa, Joana Jorge, Sílvia Ferreira Catalão-Lopes, Margarida Alventosa, Adriana |
author_role |
author |
author2 |
Pires, Cesaltina Pacheco Costa, Joana Jorge, Sílvia Ferreira Catalão-Lopes, Margarida Alventosa, Adriana |
author2_role |
author author author author author |
dc.contributor.none.fl_str_mv |
Sapientia |
dc.contributor.author.fl_str_mv |
Garcês, Pedro Pires, Cesaltina Pacheco Costa, Joana Jorge, Sílvia Ferreira Catalão-Lopes, Margarida Alventosa, Adriana |
dc.subject.por.fl_str_mv |
Housing supply Price elasticity of supply Smart cities Strategic interaction models |
topic |
Housing supply Price elasticity of supply Smart cities Strategic interaction models |
description |
The search for a pleasant home has concerned people ever since. Paradoxically, people are facing strong difficulties in finding a decent place to settle their lives in cities. As such, the housing market regained momentum in connection with the development of Smart Cities, where life quality of residents is strongly emphasized. Well-being in the metropolis is affected by a wide variety of factors with housing supply being among the most important, hence stirred by financing costs, construction costs, vacancy rate, sales delay, inflation rate, housing stock, price of agricultural land, and regulation. The present article reviews empirical studies on housing supply for a better understanding of the dynamics in this market, shedding some light on the expectable outcomes of policy actions in the promotion of sustainable housing towards the smart city transition. Our review shows that the long-run price elasticity of housing supply is larger than the short-run, as well as the existence of substantial differences in the price elasticity across countries and regions. As such, overall, the hypothesis of a perfectly elastic supply is rejected. In addition, our review highlights that housing supply is negatively related to financial costs, inflation, sales delay, and the existence of regulatory or physical constraints. Also, the elasticity is lower when there are regulatory constraints. Newfangled strategic interaction models, though overlooked in the literature, reinforce that housing does not fit the perfect competition frame. The review proves that we are in face of a non-competitive market in which policy intervention is required to maximize social welfare; policy packages to grant people access to the housing market may be required. However, policy interventions should be carefully designed and clear, to mitigate their potentially negative impact on the housing supply as adverse results may be harmful to the transition towards a smart city. |
publishDate |
2022 |
dc.date.none.fl_str_mv |
2022-10-27 2022-12-22T14:35:19Z 2022-10-27T00:00:00Z 2023-01-04T13:42:59Z |
dc.type.status.fl_str_mv |
info:eu-repo/semantics/publishedVersion |
dc.type.driver.fl_str_mv |
info:eu-repo/semantics/article |
format |
article |
status_str |
publishedVersion |
dc.identifier.uri.fl_str_mv |
http://hdl.handle.net/10400.1/18731 |
url |
http://hdl.handle.net/10400.1/18731 |
dc.language.iso.fl_str_mv |
eng |
language |
eng |
dc.relation.none.fl_str_mv |
Smart Cities 5 (4): 1488-1507 (2022) 10.3390/smartcities5040076 2624-6511 |
dc.rights.driver.fl_str_mv |
info:eu-repo/semantics/openAccess |
eu_rights_str_mv |
openAccess |
dc.format.none.fl_str_mv |
application/pdf |
dc.publisher.none.fl_str_mv |
MDPI |
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MDPI |
dc.source.none.fl_str_mv |
reponame:Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) instname:Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação instacron:RCAAP |
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Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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RCAAP |
institution |
RCAAP |
reponame_str |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
collection |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) |
repository.name.fl_str_mv |
Repositório Científico de Acesso Aberto de Portugal (Repositórios Cientìficos) - Agência para a Sociedade do Conhecimento (UMIC) - FCT - Sociedade da Informação |
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1799133330598264832 |