ABSTRACT
In this chapter we will discuss the importance of urban policies, and the spatial structure of housing markets in cities, for ethnic segregation, based on the relatively sparse literature on this subject. An advanced study in four Nordic capitals has shown that an uneven spatial distribution of different housing tenures has quite a strong influence on ethnic segregation. Compared to this, the general degree of ethnic segmentation of housing markets did not seem to be the most important factor for ethnic segregation.
The spatial structure of housing markets is not only dependent on public planning and intervention in the use of land but also on the character of institutions and markets that shape and change the urban structure. It is especially important whether the market is dominated by large builders and developers or by small-scale builders. Large firms and developers tend to build larger and more uniform housing areas. High ethnic segregation can thus either be a result of a combined liberal housing and planning system or of a strong segmented housing system combined with a planning system that separates tenures in space.
