NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Housing Constraints and Spatial Misallocation

Chang-Tai Hsieh, Enrico Moretti

NBER Working Paper No. 21154
Issued in May 2015, Revised in May 2017

---- Acknowledgements ----

We are grateful to Klaus Desmet, Rebecca Diamond, Daniel Fetter, Cecile Gaubert, Ed Glaeser, Erik Hurst, Pat Kline, Steve Redding, Jose Vasquez and several seminar participants for useful suggestions. We thank Jihoon Sung for research assistance. An earlier version of this paper circulated under the titles ”Why Do Cities Matter? Local Growth and Aggregate Growth.” and "Growth in Cities and Countries." The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.

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