IDEAS home Printed from https://ideas.repec.org/a/spr/jhappi/v23y2022i7d10.1007_s10902-022-00549-8.html
   My bibliography  Save this article

Housing prices and the subjective well-being of migrant workers: evidence from China

Author

Listed:
  • Liping Liao

    (Guangdong University of Finance & Economics
    Guangdong University of Finance & Economics)

  • Wenjie Wu

    (Jinan University)

  • Chenglei Zhang

    (Guangdong University of Finance)

Abstract

Owning a house is important for most young people in urban China, especially for migrants. For migrants who want to settle in their working city, high housing prices may have a negative effect on their subjective well-being. Using nationally representative migrant survey data, this study examines the relationship between housing prices and migrants’ subjective well-being in China. The results indicate that housing prices play a significantly negative role in migrants’ subjective well-being, especially for low-educated, female, and rural-to-urban migrants. These results are robust to instrumental variable analysis. In addition to the direct mental effect, there is evidence of two possible ways in which housing prices may affect migrants’ subjective well-being. First, high housing prices increase the possibility of migrants living alone in the city, and a geographical family split decreases their subjective well-being. Second, to earn more to purchase a house in the working city in the future, they are more likely to work longer hours and decrease their leisure time, which may cause a decrease in their happiness.

Suggested Citation

  • Liping Liao & Wenjie Wu & Chenglei Zhang, 2022. "Housing prices and the subjective well-being of migrant workers: evidence from China," Journal of Happiness Studies, Springer, vol. 23(7), pages 3363-3388, October.
  • Handle: RePEc:spr:jhappi:v:23:y:2022:i:7:d:10.1007_s10902-022-00549-8
    DOI: 10.1007/s10902-022-00549-8
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10902-022-00549-8
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10902-022-00549-8?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Démurger, Sylvie & Gurgand, Marc & Li, Shi & Yue, Ximing, 2009. "Migrants as second-class workers in urban China? A decomposition analysis," Journal of Comparative Economics, Elsevier, vol. 37(4), pages 610-628, December.
    2. Alois Stutzer & Rafael Lalive, 2004. "The Role of Social Work Norms in Job Searching and Subjective Well-Being," Journal of the European Economic Association, MIT Press, vol. 2(4), pages 696-719, June.
    3. Hayley K. Jach & Jessie Sun & Daniel Loton & Tan-Chyuan Chin & Lea E. Waters, 2018. "Strengths and Subjective Wellbeing in Adolescence: Strength-Based Parenting and the Moderating Effect of Mindset," Journal of Happiness Studies, Springer, vol. 19(2), pages 567-586, February.
    4. Fu, Shihe & Liao, Yu & Zhang, Junfu, 2016. "The effect of housing wealth on labor force participation: Evidence from China," Journal of Housing Economics, Elsevier, vol. 33(C), pages 59-69.
    5. Liu, Jing & Xing, Chunbing & Zhang, Qiong, 2020. "House price, fertility rates and reproductive intentions," China Economic Review, Elsevier, vol. 62(C).
    6. Philip Morrison, 2011. "Local Expressions of Subjective Well-being: The New Zealand Experience," Regional Studies, Taylor & Francis Journals, vol. 45(8), pages 1039-1058.
    7. Li, Lixing & Wu, Xiaoyu, 2014. "Housing price and entrepreneurship in China," Journal of Comparative Economics, Elsevier, vol. 42(2), pages 436-449.
    8. Richard Florida & Charlotta Mellander & Peter J. Rentfrow, 2013. "The Happiness of Cities," Regional Studies, Taylor & Francis Journals, vol. 47(4), pages 613-627, April.
    9. Samuelson Appau & Sefa Awaworyi Churchill & Lisa Farrell, 2019. "Social integration and subjective wellbeing," Applied Economics, Taylor & Francis Journals, vol. 51(16), pages 1748-1761, April.
    10. Liu, Zhiqiang, 2005. "Institution and inequality: the hukou system in China," Journal of Comparative Economics, Elsevier, vol. 33(1), pages 133-157, March.
    11. Feinian Chen & Hui Liu & Kriti Vikram & Yu Guo, 2015. "For Better or Worse: The Health Implications of Marriage Separation Due to Migration in Rural China," Demography, Springer;Population Association of America (PAA), vol. 52(4), pages 1321-1343, August.
    12. Meng, Xin & Zhang, Junsen, 2001. "The Two-Tier Labor Market in Urban China: Occupational Segregation and Wage Differentials between Urban Residents and Rural Migrants in Shanghai," Journal of Comparative Economics, Elsevier, vol. 29(3), pages 485-504, September.
    13. Awaworyi Churchill, Sefa & Smyth, Russell & Farrell, Lisa, 2020. "Fuel poverty and subjective wellbeing," Energy Economics, Elsevier, vol. 86(C).
    14. Leventhal, Tama & Newman, Sandra, 2010. "Housing and child development," Children and Youth Services Review, Elsevier, vol. 32(9), pages 1165-1174, September.
    15. Feng Hu, 2013. "Homeownership and Subjective Wellbeing in Urban China: Does Owning a House Make You Happier?," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 110(3), pages 951-971, February.
    16. Albert Saiz, 2010. "The Geographic Determinants of Housing Supply," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 125(3), pages 1253-1296.
    17. Michael F. Lovenheim & C. Lockwood Reynolds, 2013. "The Effect of Housing Wealth on College Choice: Evidence from the Housing Boom," Journal of Human Resources, University of Wisconsin Press, vol. 48(1), pages 1-35.
    18. Yanjie Bian & Mingsong Hao & Yaojun Li, 2018. "Social Networks and Subjective Well-Being: A Comparison of Australia, Britain, and China," Journal of Happiness Studies, Springer, vol. 19(8), pages 2489-2508, December.
    19. Chris Foye & David Clapham & Tommaso Gabrieli, 2018. "Home-ownership as a social norm and positional good: Subjective wellbeing evidence from panel data," Urban Studies, Urban Studies Journal Limited, vol. 55(6), pages 1290-1312, May.
    20. Orazio P. Attanasio & Laura Blow & Robert Hamilton & Andrew Leicester, 2009. "Booms and Busts: Consumption, House Prices and Expectations," Economica, London School of Economics and Political Science, vol. 76(301), pages 20-50, February.
    21. Newman, Sandra J. & Holupka, C. Scott, 2014. "Housing affordability and investments in children," Journal of Housing Economics, Elsevier, vol. 24(C), pages 89-100.
    22. Timo Zumbro, 2014. "The Relationship Between Homeownership and Life Satisfaction in Germany," Housing Studies, Taylor & Francis Journals, vol. 29(3), pages 319-338, April.
    23. Golden, Lonnie & Wiens-Tuers, Barbara, 2006. "To your happiness? Extra hours of labor supply and worker well-being," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(2), pages 382-397, April.
    24. Nooreddin Azimi & Yagoub Esmaeilzadeh, 2017. "Assessing the relationship between house types and residential satisfaction in Tabriz, Iran," International Journal of Urban Sciences, Taylor & Francis Journals, vol. 21(2), pages 185-203, May.
    25. Artazcoz, L.Lucía & Borrell, Carme & Benach, Joan & Cortès, Imma & Rohlfs, Izabella, 2004. "Women, family demands and health: the importance of employment status and socio-economic position," Social Science & Medicine, Elsevier, vol. 59(2), pages 263-274, July.
    26. Wrenn, Douglas H. & Yi, Junjian & Zhang, Bo, 2019. "House prices and marriage entry in China," Regional Science and Urban Economics, Elsevier, vol. 74(C), pages 118-130.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Liyan Huang & Rosli Said & Hong Ching Goh & Yu Cao, 2023. "The Residential Environment and Health and Well-Being of Chinese Migrant Populations: A Systematic Review," IJERPH, MDPI, vol. 20(4), pages 1-23, February.
    2. Chengxiang Wang & Zehua Pang & Chang Gyu Choi, 2023. "Township, County Town, Metropolitan Area, or Foreign Cities? Evidence from House Purchases by Rural Households in China," Land, MDPI, vol. 12(5), pages 1-18, May.
    3. Liping Liao & Minzhe Du & Jie Huang, 2022. "The Effect of Urban Resilience on Residents’ Subjective Happiness: Evidence from China," Land, MDPI, vol. 11(11), pages 1-19, October.
    4. Jie Chen & Wei Wang & Yan Song, 2023. "Economic Potential Gain, Income Uncertainty, and Rural Migrants’ Urban Homeownership: Evidence from China," Sustainability, MDPI, vol. 15(9), pages 1-22, April.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mingzhi Hu & Wenping Ye, 2020. "Home Ownership and Subjective Wellbeing: A Perspective from Ownership Heterogeneity," Journal of Happiness Studies, Springer, vol. 21(3), pages 1059-1079, March.
    2. Andrew E. Clark & Luis Diaz-Serrano, 2023. "Do individuals adapt to all types of housing transitions?," Review of Economics of the Household, Springer, vol. 21(2), pages 645-672, June.
    3. Manyi Luo & Shihu Zhong & Jie Chen, 2024. "The sweet burden: Does homeownership improve the economic status of households?," Palgrave Communications, Palgrave Macmillan, vol. 11(1), pages 1-10, December.
    4. Samuelson Appau & Sefa Awaworyi Churchill & Russell Smyth & Quanda Zhang, 2022. "Social Capital Inequality and Subjective Wellbeing of Older Chinese," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 160(2), pages 541-563, April.
    5. Zhu, Mengbing & Xing, Chunbing & Li, Yi, 2023. "Husbands' wages and married women's labor supply in urban China," China Economic Review, Elsevier, vol. 82(C).
    6. Liu, Jing & Xing, Chunbing & Zhang, Qiong, 2020. "House price, fertility rates and reproductive intentions," China Economic Review, Elsevier, vol. 62(C).
    7. Thomas Vendryes & Jiaqi Zhan, 2023. "Hukou-Based Discrimination, Dialects and City Characteristics," Working Papers hal-04247417, HAL.
    8. Zhang, Quanda & Awaworyi Churchill, Sefa, 2020. "Income inequality and subjective wellbeing: Panel data evidence from China," China Economic Review, Elsevier, vol. 60(C).
    9. Zheng Zhou & Ying Ma & Wenbin Du & Kaiji Zhou & Shaojie Qi, 2022. "Housing Conditions and Adolescents’ Socioemotional Well-being: An Empirical Examination from China," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 17(5), pages 2721-2741, October.
    10. Siu Ming Chan & Hung Wong, 2022. "Housing and Subjective Well-Being in Hong Kong: A Structural Equation Model," Applied Research in Quality of Life, Springer;International Society for Quality-of-Life Studies, vol. 17(3), pages 1745-1766, June.
    11. Niu, Dongxiao & Sun, Weizeng & Zheng, Siqi, 2021. "The role of informal housing in lowering China’s urbanization costs," Regional Science and Urban Economics, Elsevier, vol. 91(C).
    12. Liao, Yu & Zhang, Junfu, 2021. "Hukou status, housing tenure choice and wealth accumulation in urban China," China Economic Review, Elsevier, vol. 68(C).
    13. Xin Meng & Chris Manning & Li Shi & Tadjuddin Nur Effendi (ed.), 2010. "The Great Migration," Books, Edward Elgar Publishing, number 13619.
    14. Ayako Kondo & Dongshu Ou, 2010. "In Search of a Better Life: The Occupational Attainment of Rural and Urban Migrants in China," ISER Discussion Paper 0793, Institute of Social and Economic Research, Osaka University.
    15. Clark, Andrew E. & Díaz Serrano, Lluís, 2020. "The Long-run Effects of Housing on Well-Being," Working Papers 2072/376033, Universitat Rovira i Virgili, Department of Economics.
    16. Li, Feng & Xiao, Jing Jian, 2020. "Losing the future: Household wealth from urban housing demolition and children's human capital in China," China Economic Review, Elsevier, vol. 63(C).
    17. Xu, Yuanwei & Wang, Feicheng, 2022. "The health consequence of rising housing prices in China," Journal of Economic Behavior & Organization, Elsevier, vol. 200(C), pages 114-137.
    18. Liu, Shimeng & Zhang, Sisi, 2021. "Housing wealth changes and entrepreneurship: Evidence from urban China," China Economic Review, Elsevier, vol. 69(C).
    19. Hong Liu & Lili Liu & Fei Wang, 2023. "Housing wealth and fertility: evidence from China," Journal of Population Economics, Springer;European Society for Population Economics, vol. 36(1), pages 359-395, January.
    20. Yuanyuan Chen & Zichen Deng, 2019. "Liquidity Constraint Shock, Job Search and Post Match Quality—Evidence from Rural-to-Urban Migrants in China," Journal of Labor Research, Springer, vol. 40(3), pages 332-355, September.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:jhappi:v:23:y:2022:i:7:d:10.1007_s10902-022-00549-8. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.