Study On The Icome Redistribution Effect In Affordable Housing

Facing the unbalance of the interest distribution and urban poverty gap at the present stage, the social security system for ensuring fair is pushed to the forefront of system construction.As an important part of the social security system, housing security system is undergoing an unprecedented flourish. Based on the background that the country is currently promoting large-scale construction of affordable housing in order to guarantee social equity, this paper attempts to apply Hicksian income equivalent variation model (EV) to measure benefits of low-income housing tenants on the condition which the lack of means to reflect the practical effect of the housing security system currently. With this method, the paper will find problems in the implementation of the policy, and to provide new ideas and approaches to identify the key factors which impact social justice.The study of the thesis includes two layers or four parts (theoretical basis, theoretical modeling studies, case studies, policy recommendations).The first layer that concerning theoretical basis, theoretical modeling studies, is the basic theory of the income redistribution effect evaluation in affordable housing.Generalizing and analyzing the research achievement and practice home and abroad, the thesis will first define some basic concepts conccrninghe income redistribution effect in affordable housing and build a testing index reflecting the number characteristics of income redistribution effect evaluation in affordable housing. It will also choose the right testing methods and build the Hicksian income equivalent variation model (EV) and formulate an overall theory framework to direct the practice of income redistribution effect evaluation in affordable housing.On the basis of above the theory framework, the second layer that concludes case studies, policy recommendations, using data simulation method, objectively and scientifically obtains and quantitatives the data of economically affordable housing and Commercial housing sale quotation and electronic map and Urban residents’ consumption expenditure in Nanjing.And then Using a large micro dataset collected form 2011-2013 in Nanjing, the thesis estimates empirically the benefits. And in the end, the paper deduces the redistribution effect of affordable housing during three years through comparing the changes of Gini before and after the housing security system.And empirical result shows that the provision of affordable housing can alleviate the income inequality problem. According to the contrast among different tenants divided five income groups, however, the benefits of high-income group families are often higher than that of low-income group families, which generate another new inequity. So it’s necessary for the policy-makers to review the housing policy.