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The housing market in England is in crisis, in terms of both availability and costs of housing. Although it is not a solution for everyone, many advocates of the tiny house movement promote developing small houses that are financially affordable and environmentally sustainable. There is limited research on tiny houses, and the hidden costs of developing this type of housing have not been investigated. This paper addresses this gap through exploring the perceived transaction costs associated with developing tiny houses in England, and how these costs can be reduced. It was found that there are considerable transaction costs in different stages of the development process, including searching for information, finding suitable land, obtaining planning permission, and constructing the house. The paper concludes that tiny houses require enabling legislation in planning policy so that planning permission is easier to obtain. Also, awareness of tiny houses needs to be raised so that local planning authorities and the public understand the concept better. [ABSTRACT FROM AUTHOR]

Behavioral scientists have begun to research 'sludge,' excessive frictions that make it harder for people to do what they want to do. Friction is also an important concept in transaction-cost economics. Nevertheless, sludge has been discussed without explicit referral to transaction costs. Several questions arise from this observation. Is the analogy to friction used differently in both literatures? If so, what are the key differences? If not, should we develop the concept of sludge when the well-established literature on transaction costs already exists? This conceptual article shows that sludge and transaction costs are related, but distinct, concepts, and that the literature on sludge can benefit from incorporating elements from transaction-cost research. For example, we suggest defining sludge as aspects of the choice architecture that lead to the experience of costs, organize sludges using a typology inspired by the transaction-cost literature, highlight specificity, uncertainty, and frequency as important determinants of the 'sludginess' of choice architecture, and show that sludge audits can be conducted using methods developed in the transaction-cost literature. [ABSTRACT FROM AUTHOR]

City centres and their retail spaces have faced major challenges in recent years, including the rise of e-commerce and out-of-town retail, the disruption caused by the COVID-19 pandemic, and the current cost-of-living crisis. These challenges, along with other changes to the retail sector, have led to high retail vacancy rates, reduced footfall, and a decline in department stores, particularly in UK city centres that have struggled in recent years to attract sufficient visitors to remain economically viable. Many cities in the UK have prepared strategic plans to respond to the recent challenges of retail spaces of city centres. This paper aims to explore how the UK Core Cities have dealt with these challenges at a strategic level. Through analysing their strategic plans, this paper investigates whether they have acknowledged the major challenges in the retail sector, whilst classifying the strategies that they have adopted to deal with these challenges. The results show that the studied cities have acknowledged the major changes to the retail sector and have adopted various strategies to address retail-related challenges. These strategies can be classified into three categories of temporary interventions, economic and financial interventions, and planning and design interventions. While there are considerable similarities among the adopted strategies, some cities have developed more comprehensive and innovative strategies, particularly in relation to planning and design interventions. [ABSTRACT FROM AUTHOR]

"Transaction costs," as a well-established theory in New Institutional Economics, has been used to explain and analyze various planning matters for about 30 years since its introduction to planning literature. However, there is no study on how planning-related studies have utilized the theory. This paper conducts a systematic review that aims to develop a better understanding of how transaction-cost theory is used in planning literature. The review shows that while potential contributions and implications of transaction costs have been conceptually discussed in planning literature, the empirical studies have remained limited, particularly concerning the magnitude of such costs in planning systems. [ABSTRACT FROM AUTHOR]

How do municipalities strategically use land policy to develop land for housing? The development of housing is a challenge for many European countries, though the scale and time of it differs. Issues are not always about the absolute number of houses that need to be supplied in a country. The distribution and quality of houses affect the demand for housing. Land policy determines where and how future developments take place, and as a result, it has a considerable impact on both supply and demand of housing. Municipalities use different strategies of land policy to pursue housing goals. This paper aims to explore the rationalities underpinning such strategies of land policy. Therefore, a theory on pluralism – Cultural Theory – is employed to understand municipal strategies in different contexts, i.e. Germany (Ruhr region), Belgium (Flanders), and Netherlands. Applying Cultural Theory to land policy results in four ideal-typical strategies of active, passive, reactive, and protective land policies. Despite the fact that the decisions of municipalities are made within (or constrained by) their institutional environments (i.e. national/regional planning systems, development cultures, etc.), we found that there are key similarities between the strategies of the studied municipalities regardless of their different institutional environments. [ABSTRACT FROM AUTHOR]

An increasing number of planners have explored the implication of Coase theorem for planning theory and practice. As there are often a large and dispersed number of actors involved in planning issues, the application of 'Pure' Coasian solutions has proved to be limited. However, some studies argue that when the conditions for a 'Pure' Coasian solution do not exist, 'Impure' Coasian solutions may still be achievable. This article examines how, when conditions of 'Impure' Coasian solutions are available, local authorities in Switzerland use land improvement syndicates as a policy instrument in order to achieve negotiated solutions in relation to development processes involving multiple landowners. With a syndicate in the commune of Cheseaux as an illustrative example, the article analyses how this policy instrument has been utilised to reduce transaction costs, correct information asymmetries and clarify property rights. The focus has been on an interpretation of the Coasian theorem that identifies attempts to reduce transaction costs and clarify property rights as the main roles of governments or local authorities. [ABSTRACT FROM AUTHOR]

Tradable permit schemes (TPS) are market‐based policy instruments, which are claimed to be more statically and dynamically efficient in achieving their policy objectives compared to the traditional regulatory instruments. However, some researchers argue that the high level of transaction costs associated with these policy instruments might undermine their efficiency. This paper addresses this issue through exploring the use of Blockchain technology in order to lower transaction costs that arise from TPS transactions. More specifically, it identifies the benefits of using Blockchain smart contracts in implementing TPS that include: increasing the amount of relevant information available to interested actors thus reducing uncertainties; reducing the amount of irrelevant information available to interested actors thus decreasing complexities; correcting information asymmetries among the actors involved thus limiting opportunistic behaviours; lowering the need for the involvement of intermediaries thus decreasing direct monetary costs; and facilitating the linkage between buyers and sellers thus improving trading quality. These potential benefits can increase the efficiency of TPS by decreasing policy‐related transaction costs. [ABSTRACT FROM AUTHOR]

Transfer of development rights (TDR) programs are introduced as an alternative institutional innovation to the traditional regulatory instruments for land development. They meet the demand for development and conservation while balancing the conflicts between public and private interests with minimal use of public funds. Most TDR literature is about nature conservation and there is little focus on the complicated process and diverse stakeholders' interests of urban land use in dealing with built heritage conservation. Previous studies show that the success of TDR programs depends on various elements, especially policy design and implementation approaches. The design and implementation of TDR programs involves transaction costs that can reduce the efficiency and effectiveness of these programs. This paper aims at developing a framework for analyzing TDR programs. This proposed framework not only takes transactions costs into account, but also provides a basis for decision makers to decipher the process of informal TDR. Using Hong Kong as a case study, three TDR implementation modes are selected to examine how different informal institutional arrangements have resulted in specific transaction costs in practice and hindered TDR projects. Our findings, which are informed by transactions costs economics, provide practical insights in order to improving the efficiency and effectiveness of TDR programs, particularly in informal contexts. [ABSTRACT FROM AUTHOR]