Land use before zoning: The case of 1920's Chicago

Attempting to mitigate the negative externalities associated with mixed land use, most major US cities passed comprehensive zoning ordinances in the 1920's. Modern analysts suggest that more exclusionary motives account for zoning's widespread popularity. We document the extent to which land use was mixed before Chicago adopted its first zoning ordinance. We find numerous instances where manufacturing and commercial lots were present on residential blocks. Mixed land use was most prevalent in older areas of the city and in areas where it caused little-along major streets and near public transportation.