Subscribe: Journal of Economic Geography - Advance Access
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Journal of Economic Geography Advance Access

Published: Fri, 15 Sep 2017 00:00:00 GMT

Last Build Date: Sat, 16 Sep 2017 01:45:09 GMT


House prices and accessibility: evidence from a quasi-experiment in transport infrastructure


This article studies the impact of accessibility on house prices based on a novel quasi-experiment in the Netherlands: the Westerscheldetunnel. We exploit the fact that the opening of the tunnel caused a major shift in accessibility for people and firms in the connected regions. Our results indicate that the accessibility elasticity of house prices is 0.8. We also find support for the idea of anticipation: about half of the accessibility effect already materializes more than 1 year before the opening of the tunnel. Finally, our analyses suggest that the impact of accessibility differs substantially across regions.

Does Europe need mass immigration?


Europe has received a high net inflow of immigrants since the beginning of this century, but with the economic crisis restrictive policies are being put in place in many countries, and several countries are considering a zero-migration option. Between 2015 and 2050—with zero migration—population would decline in most countries and so would the active population even in the case of increase of activity rates and extension of the retirement age. Moreover the considerable aging of the working population will depress productivity and the rate of innovation. The paper's conclusion is that Europe will have to attract considerable inflows of immigrants in order to sustain a reasonable pattern of growth.