Study On The Impact Of Housing On The Participation Of Urban Households In Commercial Pension Insurance

Against the background of increasing life expectancy and growing demand for elderly care,it is of great significance to explore the promotion of participation in commercial pension insurance by Chinese households for the establishment of a multi-level pension security system.Most current studies have focused on sociological and individual factors,while this paper provides a new economic perspective to explore the impact of housing,an economic factor,on participation decisions.This is conducive to further exploring the mechanism of commercial pension insurance participation and promoting its development,which helps to further improve the third pillar of pension security.Using data from the 2019 China Household Finance Survey(CHFS),this article investigates the impact of housing on urban households’ participation in commercial pension insurance and analyzes the possible ways in which housing affects participation.To overcome endogeneity problems,the instrumental variable method is used for estimation.The results show that:(1)net housing wealth has a significantly positive effect on participation in commercial pension insurance.The higher the net housing wealth level of urban households,the higher the probability of participating in commercial pension insurance and the more expenditure on commercial pension insurance,which indicates a "wealth effect".Net housing wealth can promote household participation in commercial pension insurance by increasing household consumption levels and reducing household risk aversion.(2)The proportion of housing wealth has a significantly negative effect on participation in commercial pension insurance.The higher the proportion of housing wealth in urban households,the lower the probability of participating in commercial pension insurance and the less expenditure on commercial pension insurance,which indicates a "crowding out effect".The proportion of housing wealth can restrain household participation in commercial pension insurance by increasing household liquidity constraints and risk aversion.(3)There is heterogeneity in the impact of housing on participation in commercial pension insurance among urban households.Net housing wealth has a more significant positive impact on participation in commercial pension insurance for households with married heads,higher educational levels,and those living in the western region.The proportion of housing wealth has a more significant negative impact on participation in commercial pension insurance for households with unmarried heads,lower educational levels,and those living in the eastern region.