Research Discussion Paper – RDP 2001-08 City Sizes, Housing Costs, and Wealth

Contents

• Introduction
• Dwellings and Household Wealth
• The Distribution of City Sizes
• Deregulation, Disinflation and Housing Wealth Dynamics
• A Two-factor Model of City Populations
• Conclusion
• Appendix A: A Model of City Formation and Dwelling Prices
• Appendix B: Data Sources
• References

This paper began from numerous discussions with Paul Bloxham. The authors thank colleagues and participants in seminars at the Reserve Bank for useful comments. Responsibility for any remaining errors rests with the authors. The views expressed in this paper are those of the authors and should not be attributed to the Reserve Bank.