Housing Allocation Research Articles

The Spatial Dimension of House Prices

The Spatial Dimension of House Prices

The Spatial Dimension of House Prices

The Spatial Dimension of House Prices

Assessment of Policy Changes to Means-Tested Age Pension Using Expected Utility Model: Implication for Decisions in Retirement

Means-tested pension policies are typical for many countries and are very important to the pension system. These policies are specific for each country, and the assessment of policy changes is critical for policy makers. In this paper we consider the Australian means-tested Age Pension. The Australian Government uses the means-test as a way of managing the pension budget. Changes in Age Pension policy impose difficulties in retirement modelling due to policy risk, but any major changes tend to be ‘grandfathered’ meaning that current retirees are exempt from the new changes. In 2015, two important changes were made in regard to allocated pension accounts: the income means-test is now based on deemed income rather than account withdrawals, and the income-test deduction no longer applies. We examine the implications of the new changes in regard to optimal decisions for consumption, investment, and housing. We account for regulatory minimum withdrawal rules that are imposed by regulations on allocated pension accounts, as well as the 2017 asset-test rebalancing. The new policy changes are modelled in a utility maximising lifecycle model solved as an optimal stochastic control problem. We find that the new rules decrease the benefits from planning the consumption in relation to the means-test, while risky asset allocation becomes more sensitive to the asset-test and the housing allocation increases slightly in order to receive additional Age Pension. The difference in optimal drawdown between the old and new policy is only noticeable early in retirement until regulatory minimum withdrawal rates are enforced. However, the amount of extra Age Pension received for many households is now significantly higher due to the new deeming income rules, which benefit slightly wealthier households who previously would not have received Age Pension due to the income-test and minimum withdrawals.

The 2015-2017 Policy Changes to the Means-Tests of Australian Age Pension: Implication to Decisions in Retirement

The Australian Government uses the means-test as a way of managing the pension budget. Changes in Age Pension policy impose difficulties in retirement modelling due to policy risk, but any major changes tend to be ‘grandfathered’ meaning that current retirees are exempt from the new changes. In 2015, two important changes were made in regards to allocated pension accounts – the income means-test is now based on deemed income rather than account withdrawals, and the income-test deduction no longer applies. We examine the implications of the new changes in regards to optimal decisions for consumption, investment, and housing. We account for regulatory minimum withdrawal rules that are imposed by regulations on allocated pension accounts, as well as the 2017 asset-test rebalancing. The new policy changes are modelled in a utility maximizing lifecycle model and solved as an optimal stochastic control problem. We find that the new rules decrease the benefits from planning the consumption in relation to the means-test, while the housing allocation increases slightly in order to receive additional Age Pension. The difference in optimal drawdown between the old and new policy are only noticeable early in retirement until regulatory minimum withdrawal rates are enforced. However, the amount of extra Age Pension received for many households is now significantly different due to the new deeming income rules, which benefit slightly wealthier households who previously would receive no Age Pension due to the income-test and minimum withdrawals.

Living space and psychological well-being in urban China: Differentiated relationships across socio-economic gradients

Western research has shown that a shortage of living space is associated with poor psychological well-being. By contrast, norms and practices of extended family co-residence, collectivist social organization, and a bureaucratic quota-based housing allocation system were thought to limit the adverse psychological effects of cramped dwelling conditions in pre-reform China. As these buffers may be weakening with the dramatic housing reforms, socio-economic, and cultural changes taking place in post-reform urban China, we use data from the 2010 China Family Panel Studies ( N = 13,367) to re-examine the relationship between living space and psychological well-being in contemporary Chinese cities. In particular, we examine the ways in which this relationship is moderated by family wealth and community poverty in order to explore how subjective experiences of dwelling space are shaped by one’s relative socio-economic position. The results show that cramped living conditions are significantly associated with poor psychological well-being in post-reform urban China. Importantly, the psychological implications of cramped dwellings may vary with family and particularly community socio-economic status as this association tends to be stronger among more affluent families and communities than among those that are more impoverished. Taken together the findings indicate that uneven socio-economic development, segmented cultural change, and drastic housing reforms within China’s cities may be interacting to configure people’s housing experiences and health outcomes.

Living space and psychological well-being in urban China: Differentiated relationships across socio-economic gradients

Western research has shown that a shortage of living space is associated with poor psychological well-being. By contrast, norms and practices of extended family co-residence, collectivist social or...

The Role of Housing in Urban Carbon Emissions

U.S. cities vary markedly in per capita rates of carbon dioxide emissions. This paper studies the impact of regional housing and land stock allocations on urban carbon emissions. It develops a dynamic spatial equilibrium model of housing stock evolution between connected, heterogenous markets and proposes a solution method for the model, which is otherwise intractable with a large number of locations. The model is used to measure the impact of housing policies on carbon emission rates. The main finding is that policies incentivizing an intensive use of housing have direct effects on carbon emission by increasing energy usage and creating lower density cities, and indirectly, these tilt population allocation across cities towards those offering high housing consumption, which have higher emission rates on average. The paper derives emission-equivalent values for the user cost of housing, land use regulations, and carbon taxes.

Chinese Housing Reform and Social Sustainability: Evidence from Post-Reform Home Ownership

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.

Everyday Power Relations in State Firms in Socialist China: A Reexamination

Drawing on interviews with 97 retirees from different cities, this article reinterprets power relations in state-owned enterprises during the Mao era, centering on an analysis of day-to-day interactions between factory cadres and workers and between the elites and the ordinary among workers. The main issues addressed in this study include how cadres exercised discretion in administrative activities that directly affected workers’ material and nonmaterial interests, such as wage raises, housing allocations, party membership, promotions, and political awards; to what extent workers developed personal dependence on their supervisors; and whether or not workers were split into two antagonistic groups of activists and nonactivists. Without denying the instances of favoritism and personal dependence in cadre-worker relations under certain circumstances, which became increasingly noticeable in the early reform years, this study underscores the constraints of formal and informal institutions on cadres and questions the validity of the clientelist model in explaining micro-political realities on the factory floor in Chinese industry before the reform era.

Property Taxation, Zoning, and Efficiency in a Dynamic Tiebout Model

This paper presents a dynamic Tiebout model and uses it to revisit a classic argument in public finance. The argument, due to Hamilton (1975), is that a system of governments financing services with property taxes will produce an efficient allocation of housing and services if governments can implement zoning ordinances. In the model, when governments choose zoning along with taxes and services, there does not exist an equilibrium that is both efficient and locally stable. Moreover, there exists an equilibrium in which governments over-zone and households overconsume housing. These findings challenge the Benefit View of the property tax. (JEL H71, H73, R52)

Sowing the seeds of conflict? Low income housing delivery, community participation and inclusive citizenship in South Africa

The delivery of housing to low income citizens across South Africa reflects the state’s realisation of citizens’ social rights to housing and can help to strengthen a citizen’s sense of belonging. Additionally, through the very processes of housing delivery, such as decentralised mechanisms with strong community participation, principles of inclusive citizenship are forged and enacted. However, it is argued in this paper that because housing allocation is devolved and power granted to local elites, an important aspect of citizenship-making has also been devolved with insufficient checks and balances. The paper cautions that the decision-making of local elites who determine access to housing and thus the realisation of citizenship rights, is mitigated by their subjectivities. Based on case studies of selected settlements in eThekwini (Durban), the paper examines how residents access housing in slum upgrade programmes. It finds that, beyond national eligibility criteria additional localised criteria are evident which demand that residents use their identity and social relationships to both provide evidence of their eligibility and negotiate access. The paper further cautions that these local processes may be sowing seeds of conflict by propagating existing social tensions, particularly around ethno- and xenophobia, and party political contests. Such conflict ultimately undermines citizenship ideals.

ANALYSIS OF LIVING CONDITIONS IN THE NORTH CAUCASUS FEDERAL DISTRICT - ESSENTIAL CONDITION FOR THE WELFARE OF THE POPULATION

Annotation. Goal. Used voluminous bubble charts to identify the relationships are described using the histogram with the accumulation, the following summary data graphs SKFO entities over the past 5 years: a housing allocation in the urban and rural; the distribution of the housing stock by ownership; the dynamics of the proportion of old and dilapidated housing stock in the total area of the entire housing stock. Methods. We used the methods of descriptive statistics, comparative analysis, visualization. Results. To identify differences between the subjects of North Caucasus Federal District were summarized above indicators over the past 5 years. It is possible to trace the trend of changing data rates for FD (as well as the relative position of the subjects), not only for one year, but for the last 5 years at the same time with the help of histograms and graphs accumulation. Volume bubble charts clearly demonstrated the interdependence of the individual indicators, which was later confirmed by statistical calculations. Conclusion. Using the methods of descriptive statistics, comparative analysis, visualization, demonstrated their great potential for the evaluation and analysis of the dynamics of living conditions in the regions of North Caucasus Federal District. Based on the methods of descriptive statistics, and visualization was investigated place each subject as data over time and relative to other regions. We have been made appropriate recommendations on the priorities for each subject. Analyzes the interdependence of the main indicators on the basis of volume bubble

From Petrograd-Leningrad Materials) (Советская жилищная политика в годы нэпа: квартирный вопрос и домовое самоуправление в Петрограде-Ленинграде

After coming to power in Russia, the Bolsheviks created radically new housing policies. Although Soviet authorities enforced the scope of numerous new housing statutes, the provisions of these laws were often contradictory, and there was not a well-conceived program of housing. With the elimination of private real property in Soviet cities, the sale of land in urban areas was technically eliminated. However, disguised (and illegal) sales of municipal housing continued to occur during the era of the New Economic Policy (nep). During this period, a large part of the nation’s living space was managed by housing cooperatives, which were created after the Bolshevik assumption of power. However, these housing associations (known in Russian as zhiltovarishchestvо and by the end of 1924 reclassified as Zhakt [rental housing cooperatives]) were trapped by traditional (i.e. non-officially regulated) practices of housing allocation, which dominated the real estate market. As the urban population of Soviet Russia and then (after 1922) the Soviet Union (ussr) grew, a shortage of living space forced Soviet authorities to switch to stricter methods of property control in urban areas. This article describes the housing allocation processes involved in the second-largest city in Soviet Russia/ussr, Petrograd, which from 1924 was known as Leningrad. This article also investigates the functioning of the privately-driven property market mechanisms in the allocation of housing and the Soviet government’s efforts to eliminate them.

ANALYSIS OF LIVING CONDITIONS IN THE RUSSIAN DEFENSE MINISTRY - ESSENTIAL CONDITION FOR THE WELFARE OF THE POPULATION

Goal. Used voluminous bubble charts to identify the relationships are described using histograms accumulation schedules following summary data FD in the last 5 years: a housing allocation in the urban and rural; the distribution of the housing stock by ownership; the dynamics of the proportion of old and dilapidated housing stock in the total area of all the housing stock; including specific gravity of families in need of accommodation, receiving accommodations, improve living conditions, have received subsidies to pay for housing and communal services; the number of citizens using social support, social support received for payment of housing and communal services. Methods. We used the methods of descriptive statistics, comparative analysis, visualization. Results. To identify differences between the subjects of FD were summarized above indicators FD over the past 5 years. It is possible to trace the trend of changing data rates for FD (as well as the relative position of the subjects), not only for one year, but for the last 5 years at the same time with the help of histograms and graphs accumulation. Volume bubble charts clearly demonstrated the interdependence of the individual indicators, which was later confirmed by statistical calculations. Conclusion. Using the methods of descriptive statistics, comparative analysis, visualization, demonstrated their great potential for the evaluation and analysis of the dynamics of living conditions in the Federal District of the Russian Federation. On the basis of descriptive statistics and visualization techniques have been investigated as a place of each FD data in dynamics, and in relation to other subjects. It has been made appropriate recommendations on the priorities for each subject. Analyzes the interdependence of the main indicators on the basis of volume bubble charts.

Targeting Disaster Aid in Post‐Tsunami Sri Lanka

In this article we examine the allocation of boats and houses, the two major types of aid made available to tsunami‐affected fishery households in Sri Lanka. We investigate the effectiveness of targeting by looking at the distributional impacts and the determinants of allocation of these transfers at the household level. We find that houses were much better targeted than boats in terms of compensating for the losses due to the tsunami. We also find that the ex post distribution of boats is much more unequal than the distribution that prevailed before the tsunami. The reverse is true for the distribution of houses, for which the government took a much more active role.

Households' willingness to pay for public housing

In the presence of price controls, nonmarket housing allocation mechanisms such as queueing prevent households from revealing their marginal willingness to pay for housing through market prices. We derive the households’ marginal willingness to pay using the intuitive idea that the length of the queue for a specific house reflects the households’ willingness to pay for housing characteristics. We apply our methodology to public housing in the Amsterdam Metropolitan area and show that, on average, the households’ marginal willingness to pay for a unit of public housing is close to its marginal costs. This suggests that the welfare loss of public housing through distortions in housing supply is rather limited and is mainly through distortions in housing demand. We provide indirect evidence of the latter by showing that queueing induces inefficient matching of households and housing.

Prediction of Low Cost Housing Demand in Malaysia Using ARIMA Model

Among the key challenges in construction industry sector faces are matching supply of and demand for affordable housing. It is very crucial to predict low-cost housing demand to match the demand and supply so that the government can plan the allocation of low cost housing based on the demand. In Johor, housing provision is very crucial due to urbanization. The supply of houses seems to be swamping the demand for luxury condos and houses especially in Johor Bharu. Thus the aim of this study is to predict low-cost housing demand in Johor, Malaysia using ARIMA model. Time series data on low-cost housing demand have been converted to Ln before develop the model. The actual data and forecasted data will be compared and validate using Mean Absolute Percentage Error (MAPE). After that, the results using ARIMA method will be compared with ANN method. The results show that MAPE analysis for ARIMA is 15.39% while ANN is 18.27%. It can be conclude that ARIMA model can forecast low cost housing demand in Johor quite good.

The Organizational Construction of ‘Rules of Exceptionalism’ in French Social Services

Organizations tasked with distributing limited resources among populations with excess demands face obvious challenges. Positioned as mediators between public institutions and private citizens, social service organizations enjoy some discretion in translating distributive policies “on the ground.” At the same time, they often lack the social position, resources and capacity to mobilize against institutional changes that constrain their discretionary space and challenge their organizational mission. Combining boundary work and professional discretion perspectives, this paper examines how an organization for the homeless in France responded to streamlining of housing allocation at the institutional level. Relying on ethnographic fieldwork enriched by interviews with service providers and a review of archival documents, I argue that, unable to carry out institutional boundary work, the organization internalized jurisdictional struggles by engaging in discretion work. Through the latter, actors negotiated the symbolic boundaries around which client populations “belong” within the organization, as well as social boundaries delineating which client profiles should be subject to allocative rules or favorable “rules of exceptionalism.” I draw implications for how the operationalization of “rules of exceptionalism” at two extremes reinforces unequal access to resources.

Uses of Macro Social Theory: A Social Housing Case Study

This article reflects on the use of macro social theoretical perspectives to explain micro social issues, using social housing allocations as a case study. In contrast to a number of social theoretical examinations of social housing allocation schemes in recent years, spanning socio‐legal studies, we argue that ‘cookie‐cutter’ theories may overlook other positions and counter‐factual scenarios. We draw on a sample of local authority allocation schemes to reflect on the growing category of households (commonly termed ‘unhouseables’ by housing officers) which are excluded from appearing on such schemes because of their former housing deviance or some other disqualification. We offer a set of reflections grounded in our data, which focus on sustainability. Thus, rather than point to particular rationalities or the like, we offer particular housing issues as explanatory factors – including the declining stock and financial ‘competitiveness’ of social housing management – as well as a rise in punitiveness.

Tiered Housing Allocation with Preannounced Rankings: An Experimental Analysis

We study in the laboratory a variant of the house allocation with existing tenants problem where subjects are partitioned into tiers with hierarchical privileges, and they know their position in the priority queue before making their decision. We evaluate the performance of the modified versions of three well-known mechanisms: Top Trading Cycle (TTC), Gale-Shapley, and Random Serial Dictatorship (RSD) with Squatting Rights. For all three mechanisms, we find low rates of participation (around 40%), high rates of truth-telling conditional on participation (around 90%), high proportions of fair allocations (above 90%), and significant efficiency losses. We also observe differences across mechanisms: RSD is ranked highest in efficiency and TTC is ranked lowest in fairness. We then show that position in the queue has a positive and significant impact on participation whereas tier has little effect on behavior. Finally, the individual analysis reveals that the majority of subjects who do not play according to the theory still follow discernible patterns of participation and preference revelation.