Disparities in residential environment and satisfaction among urban residents in Dalian, China

Abstract

Rapid socio-economic development in China has increased social inequalities in various areas. So far, there has been considerable literature which studied objective residential disparities, but little research has investigated the differences in residents' satisfaction. Using large-scale 2006 residential survey data from Dalian, this paper examines the degree of disparities from three aspects: residential location, housing characteristics, as well as residential satisfaction. Results suggest that significant income-based disparities in residential environment do exist in Dalian. An investigation of the most vulnerable group yielded results consistent with existing knowledge of inequalities. It is shown that a higher ratio of low-income residents live in less livable neighborhoods and smaller housing space, while having a lower rate of homeownership and satisfaction than other groups. Further, the paper examines how housing reform in China influences residential disparities. Results indicate that low-income residents are faced with housing affordability problems under the market system as they have a lower ratio of owning commodity housing. However, the housing market provides them the much needed housing supply and choices, and is thus likely to increase their likelihood of satisfaction. For the high-income group, although their housing space increases greatly through the housing market, it may not outweigh the various locational and pricing advantages often associated with the past work unit housing. It is found that owning commodity housing has a lower probability of residential satisfaction for them. As home ownership does not necessarily improve the residential satisfaction level for low-income residents, it is suggested that adequate provisions of low-rent housing together with strict implementation of income criteria to be eligible for applying subsidized housing might be helpful to reduce residential disparities.