The issue of income segregation plagues numerous cities, and in particular Paris which is studied here. To mitigate this problem, the local government has implemented redevelopment policies that increase incentives to convert offices and other commercial units into moderate-rent dwellings in high-demand areas.

We find that these policies have mixed effects. Only the most restrictive law significantly stimulates the conversion of social housing in the city center, but none of these policies have an impact on social diversity.