Abstract
Innovation and entrepreneurship are vital sources of a city's economic vigor, while housing affordability is crucial to the sustainable development of urban areas. Few studies have examined the effects of housing affordability on innovation and entrepreneurship. This study addresses this research gap by developing an analytical framework for housing affordability, innovation, and entrepreneurship. Using a city-level panel dataset covering the period 2011–2021, this study creates an indicator for housing affordability and examines its impact on innovation and entrepreneurship via a two-way fixed-effects model. The results demonstrate that housing affordability significantly promotes innovation and entrepreneurship, and that population agglomeration and industrial structure transformation positively mediate this relationship. Furthermore, heterogeneity analyses show that the positive effects of innovation and entrepreneurship on housing affordability are more pronounced in innovation-oriented cities, non-resource-based cities, and cities with higher administrative statuses. These insights carry important theoretical and policy implications for understanding the subtle effects of the housing market on urban economic development. © 2025 Elsevier Ltd.
| Original language | English |
|---|---|
| Article number | 103382 |
| Journal | Habitat International |
| Volume | 160 |
| Online published | 3 Apr 2025 |
| DOIs | |
| Publication status | Published - Jun 2025 |
Bibliographical note
Publisher Copyright:© 2025 Elsevier Ltd
Funding
This paper was supported by the Outstanding Innovative Talents Cultivation Funded Programs 2024 of Renmin University of China, National Social Science Foundation of China (24CGL064), Research Fund Project of School of Public Administration and Policy, Renmin University of China.
Research Keywords
- Entrepreneurship
- Housing affordability
- Industrial structure transformation
- Innovation
- Population agglomeration
