Maryland’s Priority Funding Area and the Spatial Pattern of the New Housing Development

Scottish Geographical Journal, 1751-665X, Volume 126, Issue 2, 2010, Pages 76 – 100

Jungyul Sohn and Gerrit Knaap

“This study attempts to examine whether new urban housing development has been effectively constrained within the Priority Funding Area (PFA) in Maryland, USA. More specifically, it adopts a propensity score approach to the analysis of panel data on housing starts in Maryland between 1998 and 2003, extracted from the MdProperty View Database. While many other relevant studies use features of local housing markets as the indicators of programme success, this empirical analysis can directly examine the number and the location of newly constructed houses for testing the efficacy of the programme thanks to the detailed information available from the Property View dataset. In order to avoid the endogeneity problem associated with designating PFA, probability of being PFA for each census tract is estimated using a probit model and is included in the panel regression model. The findings of the study suggest that residential parcel development continues to expand at the outside of the PFA in the Smart Growth era.”

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