Dynamic impact of land supply on population mobility with evidence from hong kong

Previous literature refers mostly to planning constraints and market failure. Little has been concentrated on the linkages between the land and housing markets and population mobility, particularly the effects of land supply. The aim of this paper is to analyse the dynamic impact of land supply on population mobility in Hong Kong. The first part provides a background for the current situation in Hong Kong in terms of population and land use allocation. The second and third sections review the relevant literature and set out a new “supply-chain paradigm” framework and methodology. Within the framework, we investigate the linkages between land supply and population mobility using Granger-casuality tests. The findings suggest that there exists a causal relationship between land supply and population mobility in the New Territories. Past values of land supply help to predict population mobility, and vice versa.