House prices and school choice: Evidence from Chicago's magnet schools’ proximity lottery

Leonardo Bonilla-Mejía, Esteban Lopez, Daniel McMillen

Research output: Contribution to journalArticlepeer-review

10 Scopus citations

Abstract

Studies of open school policies predict house prices to rise in areas that gain access to high-quality schools. However, excess demand may limit access to high-quality schools. We take advantage of changes in Chicago's schools’ admissions policies to test whether a higher probability of admission to magnet schools for students living within 1.5 miles leads to higher house prices. Results indicate that the 1997 and 2009 reforms increased house prices for homes within the 1.5 mile radius by about 4% and 12.6%, respectively. The higher probability of admission for black students after a consent decree was vacated in 2009 led to a significant increase in prices in predominantly African-American areas on the south side.

Original languageEnglish
Pages (from-to)33-55
Number of pages23
JournalJournal of Regional Science
Volume60
Issue number1
DOIs
StatePublished - 1 Jan 2020
Externally publishedYes

Keywords

  • capitalization school choices
  • housing prices
  • magnet schools
  • proximity lottery

Fingerprint

Dive into the research topics of 'House prices and school choice: Evidence from Chicago's magnet schools’ proximity lottery'. Together they form a unique fingerprint.

Cite this