Question:

Which of the following is a potential consequence of NOT having urban land ceilings?

Updated On: Jun 11, 2025
  • Equitable distribution of urban land
  • Increased land speculation and monopolization
  • Preservation of agricultural land
  • Decreased urban population density
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The Correct Option is B

Solution and Explanation

Urban land ceilings are laws or regulations that impose a limit on the amount of land that can be owned or developed by a single entity in an urban area. These ceilings are often used to promote more equitable land distribution and prevent excessive land concentration in the hands of a few, which can lead to negative consequences for the broader population.

If urban land ceilings are not in place, several issues can arise, such as: 

  • Increased land speculation and monopolization: Without land ceilings, large corporations or wealthy individuals can purchase large quantities of land, leading to speculative buying, price inflation, and monopolization. This can reduce access to affordable housing and other essential land uses for lower-income populations. Hence, this is a common consequence of not having urban land ceilings.
  • Equitable distribution of urban land: This is generally the goal of having urban land ceilings. Without land ceilings, equitable distribution is less likely, as wealthier individuals or entities may control much of the available land, leading to inequality in land ownership and access.
  • Preservation of agricultural land: Urban land ceilings do not directly prevent the conversion of agricultural land to urban development. In fact, if there are no restrictions on land acquisition, agricultural land is more likely to be converted into urban areas, especially in growing cities. Thus, this is not a typical consequence of not having urban land ceilings.
  • Decreased urban population density: Without urban land ceilings, there may be an increase in urban sprawl rather than a decrease in population density. The tendency to acquire more land for development may result in lower-density suburban development rather than concentrated, high-density urban areas.

Conclusion:

The correct answer is that the potential consequence of not having urban land ceilings is increased land speculation and monopolization.

Answer:

Option 2: Increased land speculation and monopolization

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