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Question
Be familiar with Glaeser and Gyourko (2002)'s conclusions that high home prices in cities where values are well higher than construction costs are driven by restrictive zoning, not just fundamentally higher values of land due to amenities. ∗ Be familiar with two major results from Ihlanfeldt (2007) from Florida:
1. Land use regulations increase home prices and decrease vacant lot prices.
2. More cities in a county decrease the impact land use regulations have on prices (which the author argues is because of greater competition and thus higher elasticities of demand for homes).
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