Returns to Political Contributions in Local Housing Markets

Rui Yu

The Review of Economics and Statistics2026https://doi.org/10.1162/rest.a.1732article
AJG 4ABDC A*
Weight
0.50

Abstract

This paper examines how politically connected firms shape housing supply in U.S. cities. Using new data on campaign donations to U.S. mayors and a regression discontinuity design, I present three findings. First, developers connected to the mayor sell more new housing units. Second, more sales of new housing by connected developers coincide with higher local housing supply: cities where mayors received more developer donations issue nearly 70 percent more permits for new housing units. Third, differences in mayors’ pre-existing policy stances—rather than connections to developers—is a quantitatively larger determinant of local housing supply.

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https://doi.org/https://doi.org/10.1162/rest.a.1732

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@article{rui2026,
  title        = {{Returns to Political Contributions in Local Housing Markets}},
  author       = {Rui Yu},
  journal      = {The Review of Economics and Statistics},
  year         = {2026},
  doi          = {https://doi.org/https://doi.org/10.1162/rest.a.1732},
}

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Returns to Political Contributions in Local Housing Markets

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Evidence weight

0.50

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.50 × 0.4 = 0.20
M · momentum0.50 × 0.15 = 0.07
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

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