Which branch of economics focuses specifically on urban problems and housing issues?

Urban economics is the branch of economics that specifically addresses issues related to urban problems and housing. It examines how individuals and businesses interact within urban areas, focusing on topics such as housing markets, urban land use, transportation, and the effects of urban policies. This field analyzes the economic interactions and consequences in densely populated environments, offering insights into how to manage urban growth, combat poverty, and address issues like housing affordability.

In contrast, microeconomics deals with the decisions of individual consumers and firms, generally on a smaller scale and without the explicit focus on urban settings. Macroeconomics looks at the economy as a whole, discussing overall trends such as inflation, unemployment, and economic growth, but not specifically at urban or housing issues. Behavioral economics studies how psychological factors affect economic decision-making, which can have implications for housing preferences but does not focus solely on urban problems. Thus, urban economics stands out as the most relevant field for addressing the complexities of urban areas and their housing challenges.