Housing Affordability and Emerging Economy in Urban Beijing

摘要

Purpose - The purpose of this paper is to examine determinants of housing affordability in Beijing and explore how housing affordability will influence business development, with a special focus on startups and skill-intensive firms. Empirical research is based on Beijing grid-cell level data from 2012-2014. Methodology - This paper firstly applies econometrics modeling techniques including OLS model, Logit model, panel regression and negative binominal model to test determinants of housing affordability and its impact on business development. Additionally, we also employ machine learning methods such as k-means clustering to classify grid cells of Beijing metro area based on some social-economic characteristics.