Date of Original Version
This paper tests the efficiency of local provision of land conservation. I examine how housing prices, which capitalize open space amenities and future tax obligations, change after municipalities vote on referendums for conservation spending. Using a dynamic regression discontinuity based on voting outcomes, results suggest that average housing prices increase about 0.68–1.12% for every $1000 per household of open space spending authorized, which indicates inefficiency and underprovision of conservation. I also examine tax capitalization and supply side explanations for estimated capitalization.
Lang, C. (2018). Assessing the Efficiency of Local Open Space Provision. Journal of Public Economics , 158, 12-24. doi:10.1016/j.jpubeco.2017.12.007