Does the Rising Tide Lifts All Boats: Housing Equity, Wellbeing and Political Satisfaction in China
*Names in bold indicate Presenter
On the other hand, however, these urban middle class might be more concerned about the security of their property rights and house values and demand more in terms of quality of services and governance. It has been documented by Jun Li and Hongbo Wang (2012) in residential committee voting and Yongshun Cai (2005) in defending violation of their ownership rights although their approach tend to be more pragmatic and moderate when it comes to confront the authorities (Yongshun Cai, 2005 and An Chen, 2002). Therefore, whether house ownership is positively associated with ones' political satisfaction and self-perception remains an empirical question.
Existing literature focus primarily on the comparison between house owners with non-owners with the rare exception of the Lixing Li and Xiaoyu Wu (2014). Yet house ownership became a ubiquitous phenomenon in urban China. Exploit the newly-available panel data from China Family Panel Study 2010 and 2012, this paper examines the effect of housing prices appreciation on a wide variety of measures on political satisfaction and self-perception in China.
Our results from OLS regressions and fixed effects models show that overall housing values are positively correlated with one’s evaluation with the government effectiveness and their self-perception. We also find that these outcome variables go in tandem with the capital gains in house purchase but are at odds with their burden to repay the mortgage.