Theoretical Interpretations of Urban Housing Market, Housing Problem, Housing Policy, and Public Housing
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This paper theoretically explores urban housing market, housing problem, housing policy, and public housing focusing on spatial segregation, housing value, filtering, arbitrage model of neighborhood change, vacancy chain, gentrification, real estate agent, blockbusting, suburbanization, slum, squatter settlement, ghetto, and gatekeeper. The critical question is the reliance of housing policies in many countries on the process of filtering-down as the best means of improving the quality of housing available to those of lower income. There is no longer a single national housing problem to which a uniform national policy solution is either necessary or appropriate. Instead, it is worth noting that there are a series of localized problems, which differ in nature and extent by community, and which are best dealt with by local governments and by more spatially sensitive and precise policy instruments. In allocating public sector housing the responsible authority has to solve essentially the same decision problems – of investment, distribution, and location – that the private sector leaves largely to the market. To be done effectively, this requires an immense amount of information, in fact much more than the private market requires. Without that information, allocation decisions can often be costly, inequitable, and socially disruptive.
Abstract
This paper theoretically explores urban housing market, housing problem, housing policy, and public housing focusing on spatial segregation, housing value, filtering, arbitrage model of neighborhood change, vacancy chain, gentrification, real estate agent, blockbusting, suburbanization, slum, squatter settlement, ghetto, and gatekeeper. The critical question is the reliance of housing policies in many countries on the process of filtering-down as the best means of improving the quality of housing available to those of lower income. There is no longer a single national housing problem to which a uniform national policy solution is either necessary or appropriate. Instead, it is worth noting that there are a series of localized problems, which differ in nature and extent by community, and which are best dealt with by local governments and by more spatially sensitive and precise policy instruments. In allocating public sector housing the responsible authority has to solve essentially the same decision problems – of investment, distribution, and location – that the private sector leaves largely to the market. To be done effectively, this requires an immense amount of information, in fact much more than the private market requires. Without that information, allocation decisions can often be costly, inequitable, and socially disruptive.
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