Assistant Professors Yuhei Miyauchi and Linh Tô received a recent research grant from the BU Initiative on Cities for their project “The Effects of Social Housing on Neighborhoods.” The project’s description is as follows:
Neighborhoods’ characteristics seem to have a large influence on households’ outcomes. But so far, little is known about how social housing for disadvantaged households affects their neighborhoods in turn. The challenge is that neighborhood choice of low-income households is endogenous. They tackle this challenge using a natural experiment in Denmark. There, the public housing stock is either assigned to urgent-need households or the general public using a fixed rule. Consequently, whether an incoming household is low-income is quasi-random from the perspective of their new neighbors. They will investigate the impacts of this assignment on neighbors’ economic, social, educational outcomes, and residential mobility, using rich detailed administrative data from Denmark.