IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v12y2020i14p5710-d385093.html
   My bibliography  Save this article

Improved Multi-Objective Optimization Model for Policy Design of Rental Housing Market

Author

Listed:
  • Xiaotong Guo

    (School of Management, Xi’an University of Architecture and Technology, Xi’an 710055, China)

  • Lingyan Li

    (School of Management, Xi’an University of Architecture and Technology, Xi’an 710055, China)

  • Haiyan Xie

    (Department of Engineering, University of Cambridge, Cambridge CB3 0FA, UK
    Department of Technology, Illinois State University, Turner Hall, Normal, IL 61761, USA)

  • Wei Shi

    (Department of Engineering, University of Cambridge, Cambridge CB3 0FA, UK)

Abstract

Renting is, like owning a house, a way to realize residence rights, playing an important role in maintaining the equilibrium of the housing market. The lack of attention paid to policy design of the rental housing market causes low effectiveness in the housing resource flow and allocation at both local and national levels. Thus, we propose a novel design framework and process of public policy, in particular the development policy for the rental housing market. This innovative approach abstracts the policy design process into a solution-formation process for a high-dimensional and multi-objective optimization problem. First, based on opinion mining, using co-occurrence networks, text mining and other methods, in addition to authoritative literature and expert opinions from the Chinese Social Sciences Citation Index (CSSCI) as data sources, the objective function and the constraint function coefficients were determined to construct a multi-objective function of rental housing market policy. Second, this paper proposes a two-stage evolutionary high-dimensional multi-objective optimization algorithm based on the Pareto dominance relationship to solve high-dimensional multi-objective functions. Finally, we designed a rental housing policy tool-mix selection system-modeling process and obtained six sets of feasible solutions and objectives after 300,000 simulations. Therefore, the policy tool-mix selection system presented in this study effectively supports the policymaking process.

Suggested Citation

  • Xiaotong Guo & Lingyan Li & Haiyan Xie & Wei Shi, 2020. "Improved Multi-Objective Optimization Model for Policy Design of Rental Housing Market," Sustainability, MDPI, vol. 12(14), pages 1-23, July.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:14:p:5710-:d:385093
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/12/14/5710/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/12/14/5710/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Marta G. Rivera-Ferre & Miguel Ortega-Cerdà & Johann Baumgärtner, 2013. "Rethinking Study and Management of Agricultural Systems for Policy Design," Sustainability, MDPI, vol. 5(9), pages 1-18, September.
    2. Christine Wen & Jeremy L. Wallace, 2019. "Toward Human-Centered Urbanization? Housing Ownership and Access to Social Insurance Among Migrant Households in China," Sustainability, MDPI, vol. 11(13), pages 1-14, June.
    3. Wei Liu & Jie Li & Linjing Ren & Jie Xu & Cong Li & Shuzhuo Li, 2020. "Exploring Livelihood Resilience and Its Impact on Livelihood Strategy in Rural China," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 150(3), pages 977-998, August.
    4. Schneider, Anne & Ingram, Helen, 1988. "Systematically Pinching Ideas: A Comparative Approach to Policy Design," Journal of Public Policy, Cambridge University Press, vol. 8(1), pages 61-80, January.
    5. Giliberto Capano & Andrea Lippi, 2017. "How policy instruments are chosen: patterns of decision makers’ choices," Policy Sciences, Springer;Society of Policy Sciences, vol. 50(2), pages 269-293, June.
    6. Michael Howlett & Ishani Mukherjee, 2014. "Policy Design and Non-Design: Towards a Spectrum of Policy Formulation Types," Politics and Governance, Cogitatio Press, vol. 2(2), pages 57-71.
    7. Oren E. Nahum & Yuval Hadas, 2020. "Multi-Objective Optimal Allocation of Wireless Bus Charging Stations Considering Costs and the Environmental Impact," Sustainability, MDPI, vol. 12(6), pages 1-20, March.
    8. Li, Han & Wei, Yehua Dennis & Wu, Yangyi, 2019. "Analyzing the private rental housing market in Shanghai with open data," Land Use Policy, Elsevier, vol. 85(C), pages 271-284.
    9. Hu, Lirong & He, Shenjing & Han, Zixuan & Xiao, He & Su, Shiliang & Weng, Min & Cai, Zhongliang, 2019. "Monitoring housing rental prices based on social media:An integrated approach of machine-learning algorithms and hedonic modeling to inform equitable housing policies," Land Use Policy, Elsevier, vol. 82(C), pages 657-673.
    10. Bo Jiang & Yuanyuan Chen & Yang Bai & Xibao Xu, 2019. "Supply–Demand Coupling Mechanisms for Policy Design," Sustainability, MDPI, vol. 11(20), pages 1-8, October.
    11. Nana Cui & Hengyu Gu & Tiyan Shen & Changchun Feng, 2018. "The Impact of Micro-Level Influencing Factors on Home Value: A Housing Price-Rent Comparison," Sustainability, MDPI, vol. 10(12), pages 1-23, November.
    12. Kun Duan & Tapas Mishra & Mamata Parhi & Simon Wolfe, 2019. "How Effective are Policy Interventions in a Spatially-Embedded International Real Estate Market?," The Journal of Real Estate Finance and Economics, Springer, vol. 58(4), pages 596-637, May.
    13. Zhenpeng Zou, 2020. "Examining the Impact of Short-Term Rentals on Housing Prices in Washington, DC: Implications for Housing Policy and Equity," Housing Policy Debate, Taylor & Francis Journals, vol. 30(2), pages 269-290, March.
    14. Jorge Chica-Olmo & Rafael Cano-Guervos & Mario Chica-Rivas, 2019. "Estimation of Housing Price Variations Using Spatio-Temporal Data," Sustainability, MDPI, vol. 11(6), pages 1-21, March.
    15. Shengqin Zheng & Ye Cheng & Yingjie Ju, 2019. "Understanding the Intention and Behavior of Renting Houses among the Young Generation: Evidence from Jinan, China," Sustainability, MDPI, vol. 11(6), pages 1-18, March.
    16. Al-Attar Ali Mohamed & Shimaa Ali & Salem Alkhalaf & Tomonobu Senjyu & Ashraf M. Hemeida, 2019. "Optimal Allocation of Hybrid Renewable Energy System by Multi-Objective Water Cycle Algorithm," Sustainability, MDPI, vol. 11(23), pages 1-20, November.
    17. Michael Howlett, 2009. "Governance modes, policy regimes and operational plans: A multi-level nested model of policy instrument choice and policy design," Policy Sciences, Springer;Society of Policy Sciences, vol. 42(1), pages 73-89, February.
    18. Lingyan Li & Lujiao Feng & Xiaotong Guo & Haiyan Xie & Wei Shi, 2020. "Complex Network Analysis of Transmission Mechanism for Sustainable Incentive Policies," Sustainability, MDPI, vol. 12(2), pages 1-25, January.
    Full references (including those not matched with items on IDEAS)

    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. Acciai, Claudia, 2021. "The politics of research and innovation: Understanding instrument choices in complex governance environments – the case of France and Italy," Research Policy, Elsevier, vol. 50(9).
    2. Leonore Haelg & Sebastian Sewerin & Tobias S. Schmidt, 2020. "The role of actors in the policy design process: introducing design coalitions to explain policy output," Policy Sciences, Springer;Society of Policy Sciences, vol. 53(2), pages 309-347, June.
    3. Tingzhu Li & Ran Liu & Wei Qi, 2019. "Regional Heterogeneity of Migrant Rent Affordability Stress in Urban China: A Comparison between Skilled and Unskilled Migrants at Prefecture Level and Above," Sustainability, MDPI, vol. 11(21), pages 1-26, October.
    4. Casula, Mattia & Toth, Federico, 2021. "The 2017 Italian reform on mandatory childhood vaccinations: Analysis of the policy process and early implementation," Health Policy, Elsevier, vol. 125(1), pages 7-11.
    5. Hyunsoo Kim & Youngwoo Kwon & Yeol Choi, 2020. "Assessing the Impact of Public Rental Housing on the Housing Prices in Proximity: Based on the Regional and Local Level of Price Prediction Models Using Long Short-Term Memory (LSTM)," Sustainability, MDPI, vol. 12(18), pages 1-25, September.
    6. Sisman, S. & Aydinoglu, A.C., 2022. "A modelling approach with geographically weighted regression methods for determining geographic variation and influencing factors in housing price: A case in Istanbul," Land Use Policy, Elsevier, vol. 119(C).
    7. Sofia Vale & Felipa de Mello-Sampayo, 2021. "Effect of Hierarchical Parish System on Portuguese Housing Rents," Sustainability, MDPI, vol. 13(2), pages 1-17, January.
    8. Guiwen Liu & Jiayue Zhao & Hongjuan Wu & Taozhi Zhuang, 2022. "Spatial Pattern of the Determinants for the Private Housing Rental Prices in Highly Dense Populated Chinese Cities—Case of Chongqing," Land, MDPI, vol. 11(12), pages 1-22, December.
    9. Carsten Daugbjerg, 2022. "Against the odds: How policy capacity can compensate for weak instruments in promoting sustainable food," Policy Sciences, Springer;Society of Policy Sciences, vol. 55(3), pages 451-467, September.
    10. Moshe Maor, 2020. "Policy over- and under-design: an information quality perspective," Policy Sciences, Springer;Society of Policy Sciences, vol. 53(3), pages 395-411, September.
    11. Thomas Bolognesi & Florence Metz & Stéphane Nahrath, 2021. "Institutional complexity traps in policy integration processes: a long-term perspective on Swiss flood risk management," Policy Sciences, Springer;Society of Policy Sciences, vol. 54(4), pages 911-941, December.
    12. Jin, Tanhua & Cheng, Long & Liu, Zhicheng & Cao, Jun & Huang, Haosheng & Witlox, Frank, 2022. "Nonlinear public transit accessibility effects on housing prices: Heterogeneity across price segments," Transport Policy, Elsevier, vol. 117(C), pages 48-59.
    13. Ulybina, Olga, 2022. "Policy instrument choice under globalization: Do authoritarian states choose differently?," World Development, Elsevier, vol. 151(C).
    14. Sheng Li & Yi Jiang & Shuisong Ke & Ke Nie & Chao Wu, 2021. "Understanding the Effects of Influential Factors on Housing Prices by Combining Extreme Gradient Boosting and a Hedonic Price Model (XGBoost-HPM)," Land, MDPI, vol. 10(5), pages 1-15, May.
    15. Bello Musa Zango & Sanni Mohammed Lekan & Mohammed Jibrin Katun, 2020. "Conventional Methods in Housing Market Analysis: A Review of Literature," Baltic Journal of Real Estate Economics and Construction Management, Sciendo, vol. 8(1), pages 227-241, January.
    16. Ilana Shpaizman, 2020. "The end–means nexus and policy conversion: evidence from two cases in Israeli immigrant integration policy," Policy Sciences, Springer;Society of Policy Sciences, vol. 53(4), pages 713-733, December.
    17. Juergen Deppner & Marcelo Cajias, 2024. "Accounting for Spatial Autocorrelation in Algorithm-Driven Hedonic Models: A Spatial Cross-Validation Approach," The Journal of Real Estate Finance and Economics, Springer, vol. 68(2), pages 235-273, February.
    18. David P Carter & Christopher M Weible & Saba N Siddiki & Xavier Basurto, 2016. "Integrating core concepts from the institutional analysis and development framework for the systematic analysis of policy designs: An illustration from the US National Organic Program regulation," Journal of Theoretical Politics, , vol. 28(1), pages 159-185, January.
    19. Fleck, Ann-Katrin & Anatolitis, Vasilios, 2023. "Achieving the objectives of renewable energy policy – Insights from renewable energy auction design in Europe," Energy Policy, Elsevier, vol. 173(C).
    20. Caner Bakir, 2017. "How can interactions among interdependent structures, institutions, and agents inform financial stability? What we have still to learn from global financial crisis," Policy Sciences, Springer;Society of Policy Sciences, vol. 50(2), pages 217-239, June.

    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:gam:jsusta:v:12:y:2020:i:14:p:5710-:d:385093. 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: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.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.