“On the Sharing Economy. How Airbnb alters Barcelona Housing Market”

Abstract

Housing prices are on the rise in Spain at an alarming speed during the last years. Neighborhoods and organizations in Barcelona are on the move against this situation. It is said that the sharing economy, by the use of housing peer-to-peer platforms are affecting the housing market. Different city councils in Spain are taking legal actions against these platforms, even to the point of banning them from existing. This thesis paper describes the particular case of Barcelona and the largest peer-to-peer platform in the city; Airbnb. The paper includes a review of the current situation and relevant theory, and an econometric study, enabling us to analyze the relation between Airbnb activity and housing prices.