Abstract
Migrant workers’ buying houses in cities can not only help to reduce the number of unsold houses but also improve the efficiency of the use of rural residential lands. A framework is constructed to study how individual resource endowment and the compensation policy of quitting rural residential land act on migrant workers’ willingness to buy houses in cities. The paper adopts the logistic regression model with the data collected from 410 migrant workers in Xi’an. The results can be drawn as follows: firstly, migrant workers’ desire for buying houses in cities has a close relationship with their individual resource endowment; secondly, there is a gap between the existing compensation policy and migrant workers’ actual preference for the compensation policies. Thirdly, the existing compensation policy cannot fully exert its impact. As a result, when migrant workers are allowed to choose their most preferred policies in light of their own conditions, both the policy and resource effect will become more remarked. Thus, the design of compensation policies for quitting rural residential land should take full account of migrant workers’ individual resource endowments in order to provide them with selective compensation mechanisms. The conclusion provides a policy reference for cities where the house prices are close to that of Xi’an (11,000 yuan/square m).
Highlights
In the context of supply-side structural reform, how to reduce the number of unsold houses has constituted one of the five tasks of our economic work, and a series of target-oriented policies to tackle this problem are needed [1]
This study is expected to help set up an alternative compensation mechanism for quitting rural residency based on individual resource endowment, and examine the effect of the compensation policy for quitting rural residential land on migrant workers’ willingness to buy houses in cities and the differences of migrant workers’ willingness to buy houses in cities under the guide of the compensation policy, according to their individual endowment and the policy implemented by the local government
On the basis of existing theories, together with the positive analysis of micro-research data, this paper finds that migrant worker’s resource endowments have a marked influence on their willingness to buy houses in cities; the existing compensation policies for quitting rural residential land differs greatly with those preferred by migrant workers; when the compensation policy for quitting rural residential land can be implemented together with individual resource endowment, migrant workers are more motivated to buy houses in cities and the endowment effect will significantly strengthen
Summary
In the context of supply-side structural reform, how to reduce the number of unsold houses has constituted one of the five tasks of our economic work, and a series of target-oriented policies to tackle this problem are needed [1]. The Central Economic Work Conference in 2015 took the citizenship of migrant workers as an important policy to reduce the number of unsold houses, with the aim to enlarge the effective need for urban commercial housing. The endowment effect radiated by migrant workers’ personal and household resource endowment on the compensation policy for quitting rural residential land has a direct influence on their willingness to buy houses in cities [8,9]. This study is expected to help set up an alternative compensation mechanism for quitting rural residency based on individual resource endowment, and examine the effect of the compensation policy for quitting rural residential land on migrant workers’ willingness to buy houses in cities and the differences of migrant workers’ willingness to buy houses in cities under the guide of the compensation policy, according to their individual endowment and the policy implemented by the local government
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
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 callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
