Time Consistent Infrastructure Investments: Optimal Flood Protection Policies in Spatial Equilibrium

We thank Robert Huang and Nicholas Trottier-Lacourse for outstanding research assistance. We thank the audiences of the seminar at the Wharton School of Business, University of Pennsylvania, the MIT Center for Real Estate’s First Climate Summit in 2022, the University of Wisconsin, the Urban Economics Association, for feedback on early versions of the paper. We thank Hafedh Bouakez, Chetan Dave, Gilles Duranton, Fernando Ferreira, Ambika Gandhi, Jesse Handbury, Jeffrey Lin, Luis Quintero, Nancy Wallace, Pang Xinle, Siqi Zheng for insightful comments in the early stages of the project. The usual disclaimers apply. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.