Affordable housing creates jobs

Matthew Hanka, "Measuring job creation for HOPE VI: a success story for community development efforts," Journal of Community Development 46 (2015): 2

The take-away: This economic study examines the impact of the federal government’s housing program, HOPE VI, on job creation in two cities in Kentucky. The findings suggest that affordable housing can be leveraged to create jobs and revitalize neighborhoods.

Abstract: One of the federal government’s largest housing programs over the past 20 years, HOPE VI, has reduced the concentration of poverty, changed the physical shape of housing, and provided supportive services. HOPE VI has leveraged government funds and private investments to achieve the goal of revitalizing neighborhoods throughout the United States. The sheer magnitude of the program has created much research on the effects of HOPE VI. However, little research has examined the impact HOPE VI has had on job creation. Using three economic multiplier models (preservation economic impact model, the economic impact forecasting system model, and impact analysis for planning), our analysis showed that HOPE VI helped revitalize two small Kentucky cities: Newport and Covington. In these two cities, our findings show a significant number of jobs generated by the creation of attractive, affordable housing. These findings suggest that policymakers should focus on job creation when planning programs like HOPE VI.

Full article (requires access)