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2017 Vol.28, Issue 1 Preview Page
An Empirical Analysis on Housing Wealth and Household Consumption of Home-owning Pre-retirees and Older Adults

예비은퇴기 및 노년기 자가소유 가구의 주택자산이 소비지출에 미치는 영향 분석

Hyunjeong Lee*
이현정 *
*정회원(주저자), 경희대학교 주거환경학과 부교수, PhD
Corresponding AuthorHyunjeong Lee, Dept. of Housing & Interior Design, Kyung Hee University, 26 Kyungheedae-ro, Dongdaemun-gu, Seoul 02447, Korea. E-mail: ecohousing@khu.ac.kr
25 February 2017. pp. 83-93
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Abstract

This research intends to find out the impact of housing wealth of home-owning pre-retirees and older adults consisting of young-old, middle-old and old-old groups on their household consumption. In doing so, this research analyzes 2,350 home-owning households by utilizing the 17th Korean Labour and Income Panel Study (KLIPS). The results show that housing wealth has a statistically significant effect on non-durable consumption of the pre-retirees, and young-old and middle-old groups of older adults, and housing wealth has a much stronger effect on household expenditure than does financial wealth or real estate. It’s found that the consumption elasticity is particularly greater for female-headed households living in SMA, residing in apartments, holding a lower debt-to-asset ratio and being a pensioner. The empirical findings imply that the old-old group of older adults is unlikely to actively tap into their housing windfalls since housing asset becomes the last to dispose in the course of an individual’s life. As housing wealth effects are especially strong when liquidity constraints faced by older adults are removed, it’s of significance to substantially reduce household debt before retirement in order to constantly maintain an adequate level of household consumption or to promptly prepare for future contingencies.

Keywords
Older Adults
Pre-retirees
Housing Wealth
Household Consumption
Homeownership
키워드
노년기
예비은퇴기
주택자산
소비지출
자가소유
References

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Information
  • Publisher :The Korean Housing Association
  • Publisher(Ko) :한국주거학회
  • Journal Title :Journal of the Korean Housing Association
  • Journal Title(Ko) :한국주거학회논문집
  • Volume : 28
  • No :1
  • Pages :83-93
  • Received Date : 2017-01-11
  • Revised Date : 2017-02-16
  • Accepted Date : 2017-02-16
  • DOI :https://doi.org/10.6107/JKHA.2017.28.1.083
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