Causal Impact of Residential Promotion Area Boundaries Based on Zoning Districts on Land Prices in Surrounding Areas

A Zoning-Based Analysis of Location Normalization Plans in 343 Municipalities a Decade After the System's Introduction

Abstract

This study empirically investigates the boundary-setting practices of Residential Promotion Areas with a focus on zoning districts, as well as their causal impact on land prices in areas adjacent to the boundaries. Targeting 343 municipalities across Japan that had formulated Location Optimization Plans approximately ten years after the system's introduction, the study collected and processed geographic information to construct an original analytical dataset. It then visualized the zoning status of areas adjacent to boundary lines and quantitatively examined the actual conditions of boundary designation. Furthermore, within a causal inference framework, the study employed propensity score matching to analyze land prices, statistically testing the differences and ratios of land prices between areas inside and outside the boundaries.