Key mechanism: Tenants did not pay attention to tenant fees when choosing a property which allowed letting agents to earn supernormal profits that they could hold on to due to imperfect competition on the landlord side. 7/7

The policy achieved its goal of reducing the cost of renting and increasing transparency in the market. Well done ex-UK government and @UKCivilService, who were spot-on with their predictions. 6/7

There is some evidence that landlords try but fail to pass through the cost shock to tenants, as tenants are very sensitive to rental prices but not sensitive to tenant fees. There is no evidence of landlords leaving the market following the policy. 5/7

Nevertheless, there is no evidence of letting agencies exit, indicating the presence of supernormal profits. 4/7

Letting agents passed through around 30% of lost revenue to landlords by raising their fees and absorbed 70% of the loss. Estimates imply a landlord-agency demand elasticity of -1.6 and a second-order elasticity of 9.7 suggesting a highly concave local landlord demand 3/7

We study the effects of the Tenant Fee Act (2019) --when the UK capped the fees letting agents can charge to tenants at 50 pounds -- on letting agents, landlords and tenants. 2/7

Can governments reduce the cost of renting without adverse effects? Good news: Yes, by regulating letting agent fees Bad news: It won't solve the housing crisis. New @CEP_LSE DP with @Nik_Datta "Avenging the tenants: Regulating the middle man's rents" https://t.co/hWnz2LIK5Y 1/7

DEADLINE TODAY: Send us your papers or extended abstracts for the Junior Spatial Economics Conference in Paris on 19/20th December:

Thanks to @ClaraSantamari4, @MilenaAlmagro, @AllanHsiao, @morganemrichard for organizing! And to @m_saintmary, #NiclasMoneke, @brunoconteleite, @AmritaKulka and @AnaMoreMaldo for serving on the scientific committee!

Very excited to have the Junior Spatial Economics in Europe this 19/20 December hosted by @SciencesPo. Submit your recent and on-going work by June 20:

New! The impact of Brexit on food price inflation @RD_Economist @JanDavidBakker @Nik_Datta @joshdelyon Read: https://t.co/txpHHjUFJz

Great thread by my co-author @Nik_Datta on our updated results showing that non-tariff barriers associated with Brexit keep pushing up food prices in the UK.

And an update, out today, showing Brexit is still affecting food prices https://t.co/BBcUJDQRJk

📢@UrbanEconomics 2023 Summer School Hosted by @mcgillu and @UQAM in Montréal. Great Faculty: @MilenaAlmagro @marcogleznav #NinaHarari #TimothyMcQuade #TomoyaMori and #HolgerSieg Fantastic opportunity for Ph.D. Students! Applications Open! 👇👇👇👇👇

Great pleasure speaking with Stewart Paterson from the @hinrichfdn about our @CEP_LSE research on Brexit, non-tariff barriers and food prices.

NEW: UK traditional voting coalitions and patterns have shifted profoundly, with politics now driven by generational and educational divides. Read @jrgingrich & @benwansell IFS Deaton chapter on political inequalities, funded by @NuffieldFound> https://t.co/QFQujpRsfr

Read how experts @JanDavidBakker @Nik_Datta @joshdelyon and @EGarnizova evaluated the impact of Brexit on the UK dairy sector. @lseconsulting https://t.co/AtRdK2KNwy

We regret to inform you that the OSUS talk this Monday (12th Sep, by Lu Han) has been canceled due to unexpected circumstances. The organizers are working to reschedule the talk. Thank you for understanding and we will announce the new schedule as soon as it has been confirmed.

Happy to announce that OSUS is back this fall with a series of weekly seminars beginning September 12! For the full line-up of incredible papers and presenters visit https://t.co/KtKoFYQN8e Stay tuned for announcements and more info!

Great summer for research in int'l trade at @ECONMunich with #JFIT fellows @HarukaTakayama4, @xian__jiang, @imanelici, @JanDavidBakker and #CES visitors @ArielWein, @jpvasq, @IngaHeiland! Thank you for visiting! Stimulating discussions, great exchange of ideas and lots of fun!