Abstract

Since 1978, China has undergone an institutional reform, from a welfare-oriented housing allocation system to a market-oriented one. But with high housing prices, affordability is a major obstacle to home ownership for Chinese citizens. Now, the government has started to change the goal of housing policy from present economic benefits to sustainable housing, so future generations will have a decent place to live. Housing is an important indicator for social stratification, and home ownership, which is an important component of social sustainability in the Chinese context, is influenced by multiple factors that vary across countries. Although China has a long tradition of home ownership, there is a lack of comprehensive research on post-reform housing inequality. By undertaking a large-scale field study in the city of Xiamen, our research explored to what extent home ownership varies across socio-economic classes, and improves understanding of the reasons behind home ownership inequality. It was discovered that people have a variety of resources from which housing can be obtained, and that commercial housing served as the primary housing source, although, due to path dependence, public housing still comprises an important source of housing, as well as self-built houses. A structural equation model (SEM) was used to further explore the driving forces of home ownership inequality. The model indicated that hukou (household registration) status has the strongest effect on home ownership, followed by education, with family income and occupation as less important factors. Along with income and education, home ownership has a direct effect on people’s perception of their own socio-economic status (SES). A probability model of home ownership was developed, based on logistic regression. Local families with higher levels of income and education with at least one member working in a publicly owned organization had a higher probability of home ownership. Lastly, since 1999, housing reform in Xiamen has tended to increase social stratification, with negative economic and social consequences. Therefore, policies should pay more attention to the welfare of renters and integrating the migration process into urban planning.

Highlights

  • Sustainable development entered the global arena after the United Nation’s published a report entitled “World Commission on Environment and Development” (WCED)

  • There is no consensus on the definition of social sustainability, it includes a concern for a broad spectrum of issues, ranging from basic and tangible requirements—such as potable water, wholesome food, health care, and housing—to less tangible needs concerning education, employment, economic equity, and social justice [1]

  • People with household registration certificates from Xiamen were classified as local population, while the remainder were classified as migrants

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Summary

Introduction

Sustainable development entered the global arena after the United Nation’s published a report entitled “World Commission on Environment and Development” (WCED). Research on social sustainability in China has principally focused on the home ownership inequality between urban and migrant households [35,36]. Previous research has not addressed the causal relationship between home ownership and socio-economic class, and the importance of each potential influencing factor remains uncertain. Based on previous research and the housing reform background of China, we hypothesized that household characteristics (family size and education), economic factors (income), and institutional factors (hukou and occupation) influenced homeownership together (Hypothesis 1). Considering the situation in China, we hypothesized that home ownership inequality has led to self-rated SES differentiation in post-reform China (Hypothesis 2). We explored these two hypotheses by establishing a structural equation model. EEvviiddeennccee ooff iimmpprroovveedd lliivviinngg ccoonnddiittiioonnss iisssseeeennininththeeinicnrceraesaeseinifnloflooroarreaar,epae, rpcearpciatap,iotaf,reosfidreesnidtieanl htioaul shionugs, iwnhg,icwh hhiacshrihsaesn rfirsoemn f3r.o9m4 m3.29i4n m1927i6nto192756.1t6o m252.1in6 2m012 2i.nA2t0p12re. sAenttp, rXeisaemnte,nX’siahmouensi’nsghmouasriknegt mis awrkeleltkisnowwenll fkonroiwtsnhifgohr ihtsouhsiignhg hporuicseisng(fopurirctehsh(ifgohuerstht ohfigChheisntao’sf C28h4inpar’esfe2c8t4urperecfieticetsu)reancditiietss)raanpdiditgsrroawptihd rgartoew(sthecroantde (hsiegchoensdt ohfigChheisntao’sf C28h4inpar’esf2e8ct4uprerecfietcietus)r.e cities)

Survey Design
Logistic Regression
Characteristics of Respondents
Driving Factors of Homeownership
Home Ownership Inequality in Various Groups
Conclusions
Full Text
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