By: |
Balkan, Binnur (Central Bank of Turkey);
Tok, Elif Ozcan (Central Bank of Turkey);
Torun, Huzeyfe (Central Bank of Turkey);
Tumen, Semih (TED University) |
Abstract: |
The massive inflow of Syrian refugees is argued to drastically affect various
social and economic outcomes in the hosting countries and regions. In this
paper, we use micro-level data to investigate whether the Syrian refugee
inflows have affected the market for housing rentals in Turkey. The unexpected
arrival of a large number of refugees due to civil conflict in Syria is used
to construct a quasi-experimental design. Since the construction of new
housing units takes a long time, refugee inflow resembles a positive demand
shock to the sector. We find that the refugee inflows have led to an increase
in the rents of higher-quality housing units, while there is no statistically
significant effect in the rents of lower-quality units. This finding supports
a residential segregation story, which suggests that the refugee wave has
increased the demand for native-dominant neighborhoods with better amenities
especially among natives. We argue that negative attitudes towards refugees –
potentially due to refugee-native conflict along several dimensions – may be
generating this result. |
Keywords: |
Syrian refugees, immigration, housing rents, quasi-experimental design, Turkey |
JEL: |
C21 F22 R21 R23 |
Date: |
2018–06 |
URL: |
http://d.repec.org/n?u=RePEc:iza:izadps:dp11611&r=cwa |