Combined Rental and Transportation Affordability under China’s Public Rental Housing System—A Case Study of Nanjing

Haijin Wu, Guofang Zhai and Wei Chen
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Haijin Wu: School of Geographic and Oceanographic Sciences, Nanjing University, Nanjing 210018, China
Guofang Zhai: School of Architecture and Planning, Nanjing University, Nanjing 210018, China
Wei Chen: School of Geographic and Biologic Information, Nanjing University of Posts and Telecommunications, Nanjing 210023, China

Sustainability, 2020, vol. 12, issue 21, 1-18

Abstract: As a core element of China’s housing security system, public rental housing (PRH) has gradually become an effective means of providing low- and moderately low-income groups with viable housing options and is regarded as the embodiment of housing justice values under the Chinese socialist system. Affordability for the groups covered by this system is crucial to its sustainable positive role. By modifying the housing and transportation affordability index ( H&TAI ) equation proposed by the Center for Neighborhood Technology (CNT) and Center for Transit-Oriented Development (CTOD), United States, this paper establishes a novel rental and transportation affordability index ( R&TAI ), introduces transportation-time-cost and comprehensive-transportation-cost concepts and obtains transportation-time-cost data through accessibility analysis, which are incorporated into calculations of comprehensive transportation cost with the ArcGIS spatial analysis software. Based on the ratio of the combined cost of rental housing and transportation to household residual income (RI), this paper studies and measures the combined affordability for low- and moderately low-income residents under the PRH system. The burden of high combined rental and transportation costs not only greatly reduces residents’ ability to cope but also limits sustainable PRH system development, exacerbating the gaps between social strata. This study and its conclusions provide a reference for the Chinese government for reforming the macro-housing system and practically regulating the housing market while providing residents with options to reduce their comprehensive burden and improve their quality of life.

Keywords: public rental housing system; transportation time cost; low-income households; renting and transportation affordability index (search for similar items in EconPapers)
JEL-codes: O13 Q Q0 Q2 Q3 Q5 Q56 (search for similar items in EconPapers)
Date: 2020
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