Replication data for: Rethinking Detroit

Principal Investigator(s): View help for Principal Investigator(s) Raymond, III Owens; Esteban Rossi-Hansberg; Pierre-Daniel Sarte

Version: View help for Version V1

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Replication data for: Rethinking Detroit		0

Project Citation:

Owens, Raymond, III, Rossi-Hansberg, Esteban, and Sarte, Pierre-Daniel. Replication data for: Rethinking Detroit. Nashville, TN: American Economic Association [publisher], 2020. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2025-05-30. https://doi.org/10.3886/E231605V1

Project Description

Summary: This paper studies the urban structure of Detroit—one that is clearly not optimal for its size—which features a business district immediately surrounded by largely vacant neighborhoods. A model is presented where residential externalities lead to multiple equilibria at the neighborhood level. Specifically, neighborhood development requires the coordination of developers and residents, without which it may remain vacant even with sound fundamentals. Given this mechanism, existing strategic visions to revitalize Detroit are evaluated within a quantitative spatial model that can rationalize Detroit's current allocations. Alternative plans that rely on "development guarantees" are also considered and shown to yield better outcomes.

Scope of Project

JEL Classification:
      D62 Externalities
      R11 Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
      R23 Urban, Rural, Regional, Real Estate, and Transportation Economics: Regional Migration; Regional Labor Markets; Population; Neighborhood Characteristics
      R32 Other Spatial Production and Pricing Analysis
      R58 Regional Development Planning and Policy

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V1 [2025-05-30]

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