An extension of Mohring's model for land rent distribution

In an early paper Herbert Mohring (J. Pol. Econ., 49 (1961)) presented a model for land rent distribution yielding the well-known result that the price of land must fall with the distance from the city center to offset transportation costs. Our paper is an extension of Mohring's model in which we relax some of his drastic simplifying assumptions. This extended model has been incorporated in a method for economic evaluation of city master plans which has been applied to a Swedish city. In this method the interdependence among housing, heating, and transportation, the durability of urban structures, and the uncertainty of future demand are explicitly considered within a cost-benefit approach. Some empirical results from this pilot study concerning land rent distributions are also presented here.