Transportation, Urban Land Values, and Rents: A Synthesis

Abstract

THE PRESENT STUDY INVESTIGATES THE RELATIONSHIP BETWEEN TRANSPORTATION VALUES, RENTS AND PRICE ELASTICITIES OF DEMAND. THE AUTHOR SUBMITS THE HYPOTHESIS THAT A GENERAL IMPROVEMENT IN TRANSPORTATION WILL RESULT IN A DECLINE IN ECONOMIC RENTS IN THE AGGREGATE; THIS HOWEVER, NEED NOT, AND PROBABLY WILL NOT LEAD TO A DECLINE IN REAL PROPERTY AND SITE RENTS IN THE AGGREGATE. THE EXAMINATION OF THIS HYPOTHESIS CONCLUDES WITH THE IDEA THAT AS FREEWAYS REACH FARTHER OUT INTO THE URBAN FRINGE, AND AS FUTURE URBAN GROWTH PATTERNS BECOME HISTORY, THE TRUE TEST OF THIS THEORETICAL EXERCISE WILL BE PERFORMED.