Abstract

Public choice theory provides a basis for predicting that a fragmented regional government structure encourages municipalities to limit affordable housing for low‐income households, an action that in turn has consequences for the region's overall supply and distribution of such units. This research tests two hypotheses: First, greater fragmentation in a metropolitan region is expected to be associated with increased segregation of affordable rental housing. Second, greater fragmentation is expected to be associated with a smaller supply of affordable rental units relative to the need. Contrary to these hypotheses, the results show that greater fragmentation is associated with a greater relative supply of affordable housing for extremely low and very low income households, but does not affect its distribution. These findings suggest that a unified government structure may reduce the supply of, rather than the barriers to, affordable housing for low‐income households.

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