Summary: Hseih and Moretti enormously understated the cost of housing regulation.
From https://twitter.com/ESYudkowsky/status/1379175006387638273:
"Starting with perfect mobility, the second row in Table 4 shows the effect of changing the housing supply regulation only in New York, San Jose, and San Francisco to that in the median US city." The figure of 8.9% higher NATIONAL GDP is an error, it's actually *36%*!
1 comment
[ 3.1 ms ] story [ 11.4 ms ] threadFrom https://twitter.com/ESYudkowsky/status/1379175006387638273: "Starting with perfect mobility, the second row in Table 4 shows the effect of changing the housing supply regulation only in New York, San Jose, and San Francisco to that in the median US city." The figure of 8.9% higher NATIONAL GDP is an error, it's actually *36%*!