As one of the most prominent economic topics on the agenda in several countries before the onset of the coronavirus pandemic in early 2020, legislation restricting the supply of new real estate in municipalities has negative impacts on both local growth and the population, whose options for housing, job access, and mobility are severely affected. Adopted by most Brazilian cities, zoning regulations—which establish criteria for land use, the size of developments that can be built in specific locations, and environmental preservation zones—also drive up property prices, as housing supply fails to keep pace with demand.
Another consequence of this scenario is urban sprawl, with residents shifting to peripheral areas of municipalities, far from job opportunities and often lacking healthcare, education, and leisure options. While seen as attempts to better plan and organize cities, the costs of these regulations must be debated before their implementation, argued urban economists Fernando Ferreira and Raul da Mota Silveira Neto on our podcast, hosted by Anthony Ling, which addressed zoning and housing accessibility.
