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In his 1971’s Dynamic Models of Segregation paper, the economist Thomas C. Schelling showed that a small preference for one’s neighbors to be of the same color could lead to total segregation, even if total segregation does not correspond to individual preferences and to a residential...
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This article shows that living in public housing has no effect on the probability of being unemployed in France, once we account for the endogeneity of public housing. We estimate a simultaneous probit model of unemployment and public housing. On a first sample for Lyon, we instrument public...
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We simulate a closed rental housing market with search and matching frictions, in which both landlord and tenant agents are imperfectly informed. Homogeneous landlords set rents to maximise revenue, using information on the market to estimate the relationship between posted rent and...
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This paper focuses on residential sorting by social and ethnic status in large French urban areas. Our objective is to assess the relative importance of two major determinants of segregation stressed by the economic literature (Bartolome and Ross, 2003; Brueckner et al., 1999): (i) “Alonso sorting...
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