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How do home purchase restrictions affect elite Chinese graduate students’ job search behavior?

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Listed:
  • Sun, Weizeng
  • Zhang, Sisi
  • Lin, Chengtao
  • Zheng, Siqi

Abstract

In this study, we examine how China’s home purchase restrictions (HPR) affect recent graduate students’ job search behavior. Using administrative records of all graduate students from Tsinghua University in China in the period 2006–2016, we find that HPR significantly discourages migrant students from accepting job offers in Beijing by 6.0 percentage points. Additionally, they are more likely to choose jobs in the public sector (where it is easier to obtain residency status and thus be eligible for home purchase), and the job offers they accept are less relevant to their field of study in graduate school. The HPR has a greater effect on male, PhD, and older students. These results suggest that intervention in the housing market could affect labor-market decisions, even for highly skilled workers.

Suggested Citation

  • Sun, Weizeng & Zhang, Sisi & Lin, Chengtao & Zheng, Siqi, 2021. "How do home purchase restrictions affect elite Chinese graduate students’ job search behavior?," Regional Science and Urban Economics, Elsevier, vol. 87(C).
    • Handle: RePEc:eee:regeco:v:87:y:2021:i:c:s0166046221000041
    DOI: 10.1016/j.regsciurbeco.2021.103644
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    Cited by:

    1. Wang, Haining & Cheng, Zhiming & Smyth, Russell & Sun, Gong & Li, Jie & Wang, Wangshuai, 2022. "University education, homeownership and housing wealth," China Economic Review, Elsevier, vol. 71(C).
    2. Wouter Vangeel & Laurens Defau & Lieven De Moor, 2023. "Young Households’ Diminishing Access to Homeownership Attainment in Europe," Sustainability, MDPI, vol. 15(8), pages 1-28, April.
    3. Lina Meng & Xiao Xiao & Yinggang Zhou, 2023. "Housing Boom and Household Migration Decision: New Evidence from China," The Journal of Real Estate Finance and Economics, Springer, vol. 67(3), pages 453-479, October.
    4. Zhao, Renjie & Zhang, Jiakai, 2022. "Rent-tax substitution and its impact on firms: Evidence from housing purchase limits policy in China," Regional Science and Urban Economics, Elsevier, vol. 96(C).

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    More about this item

    Keywords

    Homeownership; Job search; Home purchase restrictions;
    All these keywords.

    JEL classification:

    • R21 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Housing Demand
    • R23 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis - - - Regional Migration; Regional Labor Markets; Population
    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity

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