Arbeitspapier

A World Divided: Refugee Centers, House Prices, and Household Preferences

The number of refugees around the world has increased substantially in the last decade. To cope with refugee flows, many countries have built refugee centers (RCs) for refugees to await the outcome of their asylum procedure. The opening of such centers often leads to considerable opposition from the local population. Using detailed housing transactions data from the Netherlands over the period 1990-2015, we examine locals' attitudes towards immigration by investigating households' willingness to pay (WTP) to avoid living near RCs. Comparing the price developments of opened RCs and those that are planned, we show that the opening of an RC decreases house prices within 2km by 3-6%. Using micro-data on home buyers' characteristics and employing a non-parametric hedonic pricing method, we identify households' individual preferences. We show that attitudes of higher income households towards RCs tend to be more negative, while those of foreign-born households are more positive. The WTP is also more negative for larger RCs. These results imply that when opening RCs, it is advisable to keep them relatively small and locate them in more ethnically diverse areas.

Sprache
Englisch

Erschienen in
Series: Tinbergen Institute Discussion Paper ; No. TI 2019-075/VIII

Klassifikation
Wirtschaft
Housing Supply and Markets
Institutions and the Macroeconomy
Economic Development: Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
Thema
immigration
house prices
refugee centers
household preferences

Ereignis
Geistige Schöpfung
(wer)
Dröes, Martijn
Koster, Hans
Ereignis
Veröffentlichung
(wer)
Tinbergen Institute
(wo)
Amsterdam and Rotterdam
(wann)
2019

Handle
Letzte Aktualisierung
10.03.2025, 11:44 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Dröes, Martijn
  • Koster, Hans
  • Tinbergen Institute

Entstanden

  • 2019

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