Peer Effects in Housing Size in Rural China

In recent decades, rural China has witnessed a housing construction boom. order to control the rapid growth of housing, both central and local governments have established quantitative restrictions on floor numbers total area; however, these been relatively ineffective. Current research explain this in tends consider independent household behavior, while social interactions among villagers are neglected. Therefore, aim article is examine existence peer effects size whether they differ different regions better understand influence individual behaviors, especially context China. A spatial autoregressive model with disturbances (SARAR) was used analyze data from 2014 Family Panel Studies (CFPS). The results confirm that villagers’ do exist, indicating households build not only satisfy their dwelling needs but also keep up other size. Moreover, there regional disparities terms Among three parts, undeveloped region western parts showed largest effects. governments, underdeveloped region, should pay attention inner motivations behind behavior.