Consequences of Forced Residential Relocation: Early Impacts of Urban Renewal Strategies on Forced Relocatees’ Housing Opportunities and Socioeconomic Outcomes

Policymakers have actively pursued urban renewal and dispersal programs to deconcentrate poverty in urban neighborhoods. Relocation strategies lead to new housing opportunities and may encourage employment opportunities for relocated residents if resourceful contacts and job information become more easily available after the move. This study provides an innovative evaluation of the early impacts of involuntary relocation programs in the Netherlands on the housing careers, earnings and employment rates of forced relocatees. It establishes a quasi-experimental design by employing unique longitudinal individual-level population registry data from Statistics Netherlands: forced relocatees are tracked and matched to a control group consisting of similar residents that were not forced to move. A difference-in-difference design shows that forced relocatees are living in less deprived neighborhoods after the move. However, we find no conclusive evidence that this upgrade in housing leads to more socioeconomic opportunities for the forced relocatees.