Local Public Expenditure, Public Service Accessibility, and Housing Price in Shanghai, China

Bibliographic Data

ID6404599
AuthorsHuiping Li (0000-0002-6998-9828, Shanghai University of Finance and Economics, Shanghai, People’s Republic of China, corresponding author), Qingfang Wang (0000-0002-7285-4027, University of California, Riverside, Riverside, CA, USA), Zhongwei Deng (0000-0002-5834-1583, Shanghai Lixin University of Accounting and Finance, Shanghai, People’s Republic of China), Wei Shi (0000-0002-3031-732X, Shanghai Lixin University of Accounting and Finance, Shanghai, People’s Republic of China), Hongwei Wang (0000-0001-7474-8271, Shanghai Lixin University of Accounting and Finance, Shanghai, People’s Republic of China)
Year2019
Volume55
Issue1
Pages148-184
Publication date2019-01-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueUrban Affairs Review (JOURNAL)
Journal identifiersISSN: 1078-0874 • E-ISSN: 1552-8332
PublisherSAGE Publications Inc (PUBLISHER)
DOI10.1177/1078087417702504
OpenAlexW2605640240
LanguageEN
Citations received14
References cited57

The level of public service accessibility differs by residential locations. Existing literature has documented the effects of public service accessibility on housing prices. However, few studies have examined how public service provision affects housing prices under the Chinese centralized governance system. Using data from different geographic scales, this study uses a multilevel research design to examine how public service provision is associated with housing prices in Shanghai. Results show that though the total expenditure at the urban district level is not related to housing prices, government redistributive expenditure is positively associated with housing price and the developmental expenditure is on the opposite. The expenditure effects are further mediated by the accessibility to public facilities at the community level. The findings suggest that, as public service accessibility has been capitalized into housing prices, the decentralized fiscal system with relatively centralized governance structure may have reinforced urban polarization in Shanghai

Business · China · Corporate governance · Economic growth · Economics · Geography · Government (linguistics · Local government · Political science · Public economics · Public expenditure · Public finance · Public service · Service (business · Fiscal Policy and Economic Growth · Housing Market and Economics · Local Government Finance and Decentralization · Public Administration · Finance · Marketing