Are Foreclosures an Externality?

In August 2012, the Federal Reserve Bank of Atlanta released a new working paper by Gerardi et al. entitled“Foreclosure Externalities: Some New Evidence.” The question was and is, Do residential foreclosures affect the value of neighboring properties? This has been an ongoing debate, fueled by the unprecedented number of foreclosed […]

The Impact of Transit Corridors on Residential Property Values

Most of the literature on transit corridors, such as superhighways and tunnels, focuses on the positive externality of transit access (e.g., interstate access, transit station) and fails to isolate the negative externality of the corridor itself. This empirical study examines two situations: one with both access benefits and negatives, […]