Abstract
Abstract In this paper, we apply the model of the extended linear expenditure system to measure housing affordability of urban households in Beijing, and calculate the affordable housing areas of urban households which are on different income levels in Beijing in 2013 and 2004. In this study, we find that, the household disposable incomes of urban households in Beijing increase along with the development of economy, all income levels of urban households in Beijing can cover the expenditures of their basic life needs, housing affordability of urban households of different income levels in Beijing is increasing. However, because the growth of house prices is faster than the growth of disposable income of urban households in Beijing, the affordable housing areas of urban residents in Beijing is decreasing. To solve the housing problem in Beijing, the government must find ways to increase households’ income and carry out efficient ways to control the growth of housing price.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call