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In 2010, Denmark launched a controversial policy labeling certain public housing areas as “Ghettos” based on high immigrant populations, crime, and unemployment.
The goal? To change the socio-demographic makeup of these neighborhoods.
Did it work? 🤔 (1/4)
#econsky #econtwitter
In 2010, Denmark launched a controversial policy labeling certain public housing areas as “Ghettos” based on high immigrant populations, crime, and unemployment.
The goal? To change the socio-demographic makeup of these neighborhoods.
Did it work? 🤔 (1/4)
#econsky #econtwitter
Comments
Short answer: No.
Instead of improving conditions, the targeted areas saw their socio-demographic makeup worsen.
Why? Relatively better-off Danes avoided moving into these neighborhoods after they were publicly labeled as Ghettos. (2/4)
👉 Their income decreased.
👉 Driven largely by Danes who moved away shortly after the policy.
👉 This suggests native flight coming at a financial cost.
Unintended consequences of place-based policies can be costly. (3/4)