Economics at your fingertips  

Housing allocations, imputed rents and inequality in urban China

Jeffrey Zax ()

ERSA conference papers from European Regional Science Association

Abstract: This paper demonstrates that subsidized housing substantially increased inequality among urban Chinese residents in 1988 and 1995. Regressions for 1995 rental units impute estimated market rents in 1988 and 1995 for all dwelling units. In both years, these imputed values exceeded actual rents by a factor of more than ten. Estimated true household income, the sum of imputed net estimated market rent and total reported income, exceeded total reported income by approximately 23% in 1995. The Gini coefficient for true household income in 1988 was probably in the vicinity of 0.250, more than 20 % greater than the coefficient of 0.206 for total reported income. The Gini coefficient for 1995 was probably around 0.310, 11.1% greater than the reported value of 0.279. The contribution of imputed rents to inequality is much less in recent years, as urban housing has become more commodified. Consequently, the increase in urban inequality over the past 25 years has been less than that estimated on the basis of money incomes alone.

JEL-codes: D31 O15 O18 P36 R21 (search for similar items in EconPapers)
Date: 2014-11
New Economics Papers: this item is included in nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link) (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this paper

More papers in ERSA conference papers from European Regional Science Association Welthandelsplatz 1, 1020 Vienna, Austria.
Bibliographic data for series maintained by Gunther Maier ().

Page updated 2020-09-09
Handle: RePEc:wiw:wiwrsa:ersa14p1682