The role of state-developed housing and housing poverty in Korea

Abstract

During the last 40 years, the emphasis of the public sector in Korea has been on the expansion of state-developed housing for sale rather than for rent. The government has introduced state-developed housing for sale alongside policies to encourage home ownership with a concept of 'filtering' in mind. The economic crisis of 1997 brought about an even more significant change in the ideological as well as the economic environment of housing: market forces are now regarded as of greater importance than the role of the state. The purpose of this paper is to examine the role of state-developed housing and to explore low-income housing issues. From the point of view of efficiency and also from that of equity, it is highly desirable that the state-developed housing-for-sale programme should be switched to rental housing or cooperative housing. The enabling framework should be developed as a low-income housing policy paradigm in Korea. The government alone cannot be expected to provide the necessary solution. Ther...