With Chun-Yu Ho; Latest Version: March 2007

Invited for Resubmission in Urban Studies

Presented in the Annual Meeting of Association for Asian Studies 2007, March 23-25, 2007, Boston, Chinese Economists Society Annual Conference 2006, July 2-4, 2006, Shanghai, China, and Conference "Social Inequality in a New Century" held in John W. McMormack Graduate School of Policy Studies, April 28, 2006, UMass Boston, Boston.

Abstract: This paper analyzes the evolution of Chinese urban income distribution across space and time in post-reform era. Our results suggest no evidence on income convergence across cities during the period 1984-2003. We find that cities with comparable income level are likely to be co-located in the same region; further, cities tend to mirror the mobility of their counterparts located in the same province, but not the same region. The divergence in urban income across the nation will continue if the current economic growth pattern persists in the future.

(2) Evaluating the Welfare Change of Market Reform in China: A Consumption-Based Approach

With Chun-Yu Ho and Wai-Yip Alex Ho; Latest Version: July 2006

Abstract: This paper estimates the welfare cost of consumption .fluctuation and welfare gain of extra 1% consumption growth for China and its provinces. We employ the framework proposed by Lucas (1987) to conduct welfare analysis and perform policy evaluation for economic reform initiated in 1979. Using the national and provincial consumption data, we found out that (1) the welfare gain from eliminating consumption volatility at provincial level is higher than that at national level due to the market incompleteness at the provincial level; (2) the welfare cost of consumption volatility is higher for provinces in the eastern region where the consumption volatility is higher; (3) the welfare gain of extra 1% consumption gain is higher for provinces in western region where the consumption growth is lower. The policy evaluation show that the market reform introduced in 1979 increases 7% the lifetime consumption of an average Chinese.

(3) A Behavioral Analysis of Household's Choices on Housing Consumption and Travel Mode

With W. P. Anderson, Chun-Yu Ho and T. R. Lakshmanan; Latest Version: Nov 2005   

Presented in Western Regional Science Association 45th Annual Meeting, Feb 2006

Abstract: A structural household behavior model is developed for integrated analysis of housing choice and travel mode choice where a mode is defined in terms of its speed. We derive the optimality conditions for consumption, housing, leisure and speed. Multinomial Logit Model (MNL) and Ordered Logit Estimation (OLE) are employed to test the implication of housing choice and speed choice of our model respectively by using Boston Household Survey data 1991. Empirical results support the prediction of our structural model that in Great Boston Area, people with higher income level tend to live further away from Central Business District (CBD), enjoy more spacious housing and travel with a speedier mode.