;Ronald).Policiesanddiscoursehaveassociatedfutureaspirationsandself-pr - PDF document

;Ronald).Policiesanddiscoursehaveassociatedfutureaspirationsandself-provisioningwiththepricingdynamicsofassetmarkets.Governmentstoohavebecomeinvolvedinpromotingnancialliteracyamongthepopulation,whilethenotionofthesaver-investorhasbecomeacentraleconomicidentityandnormalisedfeatureofcon-temporaryexistence.‘Thecalculationsofeverydaylifethuscometomimicthoseofprofessionalinvestors:howtotreatlifeitselfasaseriesofinvestmentdecisions;howtopositionthehousehold’sassetsontherightsideofpricingtrends;andhowtoplanforthelongtermbybeingabletocontinuallytradeupthevalueofassets’(Watson,p.45).But,asattractiveasasset-basedwelfaremightappeartogovernments,anumberofobstacleshavestoodinthewayofitsdevelopment.Firstly,whilegovernmentsappeartohaveassumedthatindividualsarerationaleconomicagentsthatwouldchoosetosaveinthefaceofexpectationsoffuturewelfareshortfalls,evidenceofthisisequivocal.Rowlingson),forexample,arguesthatpeoplefaceconstraintsinthinkingandplanningaheadandsavingforthefuture.Thesemaylieindifcultiesorunwillingnesstothinklongtermintothefutureortoimagineone’splaceinit.Furthermore,forsome,conceptionsofthelifecycleleadthemtoconsiderparticulartypesofplanningatparticularages,whileforotherstheabilitytoplanaheadisaffectedbytheamountandsecurityofresourcesthattheycommand.Secondly,inregardtowhetherornothouseholdsaccumulatehousingwealthaspartofalong-termstrategy,ashousepriceshaveincreased,theregularsavingsandcostsassociatedwithpurchasehavemovedwellbeyondthecapacityofmanyhouseholds,especiallyoneswithalowincomeoronlyoneearner.IntheUK,therateofnetincomerequiredtoservemortgagerepaymentsincreasedfrom25to42%between2003and2007.Meanwhile,theequivalentproportionrequiredtocovertheup-frontcostsofhomepurchaseincreasedfromaround20to100%between1997and2004(RICS).Homepurchasehasthusbecomeincreasinglydelayedrequiringlong-termstrategiesandsavingsplans.And,mostofall,largesectionsofthepopulationsinallcountriesarenanciallyexcludedfromacquiringhousingassetsatallsothataproperty-basedsystemofwelfarewillnotbefullyinclusiveofnationalpopulations.Thirdly,whilemanyhavebeenabletoacquirehousinginvestmentswhichhaveinthelongtermincreasedinvalue,ithasproveddifculttoeithertransformsuchxedassetsintoliquidresourcesforwelfareconsumptionorgetpeopletoacceptthathousingwealthshouldbeconsumed,especiallyonwelfareservices.Whiletheincomein-kindenjoyedbynon-mortgagedhomeownerssupplementslowerincomes,itismoredifculttoextractassetvaluefromahome.Traditionalmechanismsrequiretradingdownormovingintorentedaccommodation,underminingtheadvantagesofowner-occupation.Haffner(foundthatDutchhomeowners,forexample,wereveryresistanttosellingandfarmorelikelytotapintosavingsorotherassets.Inothercontexts,however,reversemortgagesandequityreleaseproductshavebeendevelopedtoenhancetherealisationofhousingassetswithoutrequiringhomeownerstomove.IntheUK,aleaderinnancialproductdevel-opment,20%ofallmortgagelendingwasmadeupofequityreleaseleadinguptothecreditcrunch(QuilgarsandJones).ToussaintandElsinga()distinguishbetween‘housing-asset-basedwelfare’.Intheformer,homeownershipisperceivedasameanstoaccumulatehousingequitythatcanbetappedintocontingently,asalastresort.Inthelatter,homeequityisusedasanancialresourceandbuiltuporreleasedasneededoverthelifecoursevianancialproducts.Theproblemforgovern-mentsisthatwith‘traditional’housing-asset-basedwelfarethereisconsiderableresistancetotheuseofhomesaswelfareresources.Meanwhile,‘new’systemshaveover-stimulatedconsumption,withequityturnedintolifestyleconsumption,leavinglittleofthehousingassetleftwhenitisneededinlaterlife. J.Doling,R.Ronald Afourthissueconcernsthehousingmarketitself.Housing-asset-basedwelfareisfoundedontheassumptionthathousepricesincreasefasterthanination,andinperpe-tuity.Althoughhousingmarketsinmanycountrieshavedemonstratedincreasesinthelongterm,marketsareevidentlyvolatile.Consequentlymanyarerespectivelyadvantagedordisadvantagedbytheirtimingofentryandexitinthemarket.Whatevertheconsequencesofthisfortheindividual,italsoprovideschallengesforgovernments.FortheSingaporegovernment,forexample(withaheavilyembeddedasset-basedwelfaresystem),whileenjoyingconsiderablepoliticalsupportfortheirmasshomeownershipprogramme(withpublicschemesaccountingformorethan80%ofthehousingstockandatotalowner-occupancyrateof92%),policyobjectiveshavebecomesubordinatetothemaintenanceofhousepricevalues.Somuchindividualwealthisheldinhousingassetsthathousingmarketcrashesthreatennotonlytheaggregateassetvalueofthenationbutalsotheviabilityofthewelfareandpensionsystem(ChuaFinally,thevolatilityofhousingmarketsexposedinrecentyearshasalsorevealedsomeinherentunsustainabilityinproperty-basedwelfaresystems.Suchasystemcanonlybeexpectedtosurviveifcontinualaccesstohomeownershipassetsisguaranteedfromonegenerationtothenext.However,itrecentlybecameevidentinmostactivehousingmarketsthatdistinctclassesof‘marketincluded’and‘marketexcluded’werebeginningtoformasaresultofhousepriceination.Thisconstitutedadivisionininterestsbetweentwopartsofthepopulation,withonethathadsecuredaccesstoasset-basedwelfareviathehousingmarketononeside,andoneseekingaccessontheother(Watson;RonaldWhiletheformerhaveaninterestinthecontinuedincreaseinhousepricesandgovernmentpersistencewithasset-basedwelfarestrategies,thelatterhavepressuredgovernmentstoimproveaccessandtheaffordabilityofhomepurchase.Watsonarguesthatundercurrenteconomicconditions,governmentsfaceadilemmabetweentheshort-andlong-termneedsofdevelopingasset-basedwelfare.Whiletheycannotaffordtoletpropertyvaluesfail,theyalsorecognisethatthenextgenerationofaspiringassetholderswillbeexcludedfromaccumulationdynamicsonthehousingmarketunlessaffordablehousingbecomesmorewidelyavailable.4AninternationalperspectiveSo,whatinsightsandunderstandingsoftheseissuesrelatedtoasset-basedwelfarefoundedonhomeownershipdoesthecollectionofpapersinthisthemededitioncontribute?Muchoftherecentliteraturedealingwiththecomplexrelationshipbetweenhousingandwelfareandthechallengesfacingtheimplementationandmaintenanceofasset-basedwelfarehasfocusedonAnglo-Americancontexts.Thishasperpetuatedanassumptionthatasset-basedwelfareisrelativelyinnovativeandanassociationbetweenitsadvancementandadvancedliberalregimes.However,amoreinternationalperspectiverevealsthataspectsofasset-basedwelfareareevidentinavarietyofcontextsandthathomeownershipisalreadywelldevelopedinmanycountriesasanexplicitmeanstosupplementorsub-stitutepublicwelfareprovision(DolingandRonald).Furthermore,amorecom-parativeappraisalrevealsamorenuancedandcomplexinteractionbetweenhousingpolicy,marketsandwelfaresystemsthatdemonstratessignicantpathdependencyandlocalcontingency.Thepaperspresentedinthisthemedissueprovidesomeinsightintothisdiversityandcomplexity.Theyillustratenotonlythepotentialandlimitationsofasset-basedwelfaresystems,butalsoprovideinsightsintohowthechallengeswehavehigh-lightedsofarcanbenegotiated,resolvedor,alternatively,howtheycanpersist.Moreover, Homeownershipandasset-basedwelfare Thisthemededitionconsidersboththepotentialandthelimitationsofhomeownershipasameansofoffsettingwelfareandpensionneedsinthecontextofsocioeconomicanddemographictransformations.Theobjectiveisneithertocondonenorcondemnasset-basedwelfare—irrespectiveofwhethertheassetsareproperty—butrathertoexaminehowithasalreadybeendevelopedandtestedinanumberofcountriesandtoexploreitsviabilityinthecontextofchangesevidentlyunderwayinmanyadvancedsocieties.Theobjectiveisalsonottosuggestthatasset-basedwelfareisthepolicydestinyofadvancedsocieties,butratherthathomeownershiphastakenonanewandmoreglobalsalienceinwelfarepolicyandpolitics,and,becauseofthat,requiresattention.Totheseends,bothindividualsocietiesandgroupsofcountriesthatrepresentasset-basedwelfareandhousingsystemsatdifferentstagesandindifferentconditionshavebeenselectedforanalysis.All,however,providelessonson,andinsightsinto,thepotentialandlimitationsofhousingasapillarofwelfare.Beforeconsideringthepaperssetoutinthiseditionitisusefulrsttoestablishfurtherthefeaturesanddimensionsofhousing,welfareandhouseholdassets.2HousingandwelfareHistorically,housingwasviewedasoneofthemajordeterminantsofthestandardoflivingachievedbyhouseholds,ithavingadirectbearing,literally,onhowwellhouseholdslived.Decenthousing,inthesenseofanadequatephysicalshelter,wasthesolutiontooneofBeveridge’svegiants:squalor.Consequently,whenTorgersencoinedhisnowfamousphrase‘‘thewobblypillarunderthewelfarestate’’(Torgersen)hewasreferringtohousingas‘shelter’andthelimitedscopeofhousingservicesprovidedbythestate,normallytakentomeannon-protrentalhousing.However,thisalwaysunderrepresentedthefullsignicanceofhousing.Inpractice,socialsecuritysystemscomplementandintegratewithotherrelatedmeasures.Ithasthusbeenarguedthatbyaddressingthehousingsystemmoreasawhole,toincludetheprivatemarket,housingcanbeconsideredcentraltohouseholdwelfareconditions(Grovesetal.).Housingisacomplexwelfaregoodthatsupplementsandmediatestheowofotherwelfaregoodsandservicesatthehouseholdlevel,makingindividualsmoreorlessdependentonthestate,marketandfamilyforthesatisfactionofotherneeds.Butincreasingly,aslevelsofindividualhousingpropertyconsumptionand,subsequently,housingwealthexpand,thecapacityforhouse-holdstotapintothiswealthforthepurchaseofwelfaregoodsortooffsetretirementneedsalsoincreases.Thepositionofhousinginnationalwelfaresystems,then,ismuchmorecomplexthanitsrolesimplyasprovidingphysicalshelter.Oneaspectofthiscomplexity,thesignicanceofhomeownershipandfamilywelfareexchanges,hasbeenreasonablywelldocumentedinSouthernEuropeanstates(Castlesand;Allenetal.).There,ithasbeenconsideredtoreectculturalvalues,familypracticesandtheunderdevelopmentofthewelfarestate.However,thegeograph-icallywiderperspectiveestablishedthroughtheworkofKemeny()andCastles)pointstoapossibletrade-offbetweentheextentofhomeownershipandthegenerosityofpensionsinoldage.Bythetimeofretirement,olderun-mortgagedhome-ownersgenerallyenjoythenetbenetequivalenttotherenttheywouldotherwisehavetopayonthepropertyminusoutgoingsformaintenanceandpropertytaxes.Inotherwords,‘whenindividualsownhomestheycangetbyonsmallerpensions’(Castles,13).Atthesametime,theresourcesrequiredforpayingforahomeactasastrongdeterrenttowelfareandsocialsecurityfundedbyincreasesintaxation.Kemeny()provided J.Doling,R.Ronald inemergingwelfareregimes.InassessingthefuturepotentialofhousingassetsinEasternEuropeto‘sustain,storeandreleasewealth’,sheanalysesmicrodatafromtheEuropeanQualityofLifeSurvey.Thisrevealsarelativelyhighincidenceofunthousingaswellasconsiderabledeprivationamonghomeowners.ThenatureofthehousingstockandhousingsysteminmanyEastEuropeancontextssuggeststhatowner-occupiedhousinghasamorelimitedcapacitytostoreandsustainwealthincomparisontoWesternEurope.Mandicalsoidentiesconsiderablewithin-groupdifferencesintheregion.AmongEuropeanpost-socialistcountriesshespecicallyidentiesthreesub-groupswithinwhichthereismoreorlessdependenceonhomeownershipinoffsettingwelfareorpensionincome,andmoreorlesspotentialtodevelopthehousingsystemtoenhancethefunctionofasset-basedwelfare.ThepaperbytheeditorsalsoaddressescontrastsbetweengroupsofcountriesacrosstheEuropeanUnion,takingtheincreased‘potential’inasset-basedwelfareacrossEuropeengenderedbyoveralladvancesinhomeownershipratesandpropertyvaluesinthelastdecadeasapointofdeparture.Basedonanalysesofaggregatedata,thepotentialforhomeownershiptosupplementpensionsisexaminedineachcountry.Thisrequiressomecon-siderableapproximationsoftypesandratesofincomehomeownerscouldhypotheticallygeneratefromtheirhomes.Italsoinvolvesconsiderationofpensionsystemsineachcountryandhowtheyoperateinrelationtohousingaswellasothersourcesofwealthandincomeinoldage.Centraltothemeasureofasset-basedwelfareviabilityisthenotionof‘adequacy’bywhichismeanthowpotentialretirementincomescomparetoworkingincomesinbringingretiredhouseholdsoutofpoverty.TheanalysisprovidesbroadcomparisonsbetweenEUmemberstateswithregardtoexistinghousingandpensionconditions.ItappearsthathousingincomemayhaveleastimpactinolderEUmemberstatesinCentralandNorthernEuropeandgreatestinEasternEurope,Mediterraneancountriesandthe‘liberal’nationsontheAtlanticrimincludingBritainandIreland.AnotherdistinctionappearstoexistbetweenEasterntransitioneconomiesandliberalWestandSouthernEuropeanones.EventhoughEastEuropeanstatepensionsystemsmakeasmallcontributiontoolderpeople’sincomes,theyarerelativelylargecomparedtotheincomesofyoungerpeople,andtheriskofpovertyinoldageisalmostaslowasitisinNorth-CentralEuropeancountries.InliberalandMediterraneancountries,whilestatepensionsmakeasignicantcontribution,theincomesofyoungerpeoplearenotablyhigherandthereisgreaterriskofpovertyinoldage.Animportantconclusionisthatgreaterdependencyonhomeownershipinwelfareprovision,particularlyappliedasasubstituteforratherthanacomplementtoexistingarrangements,mayhaveadverseconsequences,especiallyforthemostvulnerablehouseholds.Indeed,variousstudiesindicatethathomeownershipandhousingwealthreinforceratherthancompensateforexistinginequalities.ThenalpaperlooksingreaterdepthataNorth-WesternEuropeanhomeownershiporientatedsocietythathasbeensomewhatneglectedininternationalanalyses.Incom-parisontoitsneighbours,Belgiumhasmuchgreaterdependencyonhousingself-provision,rootedintheconsistentpromotionofhomeownershipsincethenineteenthcentury.Basedonbothqualitativeandquantitativeanalysesofhouseholdperceptions,expectationsandconditions,PascalDeDeckerandCarolineDewildeassertthatanasset-basedapproachtowelfarehasactuallylongbeeninplace.OlderBelgianpeopletendtobeincome-poorbuthousing-asset-rich.Homeownershipisnotsimplyaculturalpreference,however,butnecessarytooffsetpovertyriskinretirement,whichishighamongelderlyrenters.Nonetheless,Belgium’sasset-basedwelfareappearstodemonstratefeaturesofamore‘traditional’systemofhousing-asset-basedwelfarewithastrongrelianceonreducedhousingcostsinoldageratherthanthereleaseofhousingequity.Moreover,attitudestowardswelfarearerelativelyconservativeandtheexpectationthatthestatecanand Homeownershipandasset-basedwelfare theyillustratenewissues,especiallyinsocietieswherehomeownershiphasamorematurebaseinthewelfaresystemandlogicofthestate.YosukeHirayama’spaperonJapanisoneoftwofromtheAsia–Pacicregion.AmongindustrializedEastAsiannations,housinghasreceivedspecialtreatmentinpolicy.Gov-ernmentshavebeenstronglyinterventionistinthehousingsectorbuthaveinthelongtermpromotedtheconsumptionofhousingasahouseholdinvestmentgood(DolingGrovesetal.;Ronald).Homeownershiphasindeedbeencentraltowelfareconditions.Thesustainedhousepriceincreasesbetweenthe1960sand1990simprovedfamilyeconomiccapacity,supportingstateunderdevelopmentofpublicwelfareinfavourofapolicyregimedevotedtoeconomicgrowth.JapanpioneeredanEastAsianwelfarecapitalismmodel.Post-warhousingpoliciessoughttorapidlyexpandowner-occupancylevelsandembedtherelationshipbetweenfamilyhousingwealthandwelfareself-pro-vision.Untilthe1990s,thegovernmentwasconsistentinstimulatinghousepriceination,whichitconsideredbothcentraltothetransferofaggregatenationalwealthincreasestothehouseholdlevelandnecessarytosocialsecurityself-reliance.Hirayamaidentieskeychallengestothissystem,includingaprolongederaofeco-nomicdeclineinthe1990sand2000s,ontheonehand,andarapidlyageingpopulation,ontheother.Japancanbeconsideredamatureasset-basedwelfaresystemthathasbeenalmostirrevocablydamagedbymorethan12yearsofassetdepreciation.Therearenowconsiderablegapsinwelfare,especiallyfortheelderly,thatthegovernmentisattemptingtoplug.Moreover,traditionalmechanismsformaintaininga‘home-owningsociety’arefailing.Homepurchaseforyoungerhouseholdshasbeeninsharpdecline.Meanwhileeconomicconditionsbetweencategoriesofhomeownerandhousingpropertyhavebecomenoticeablydifferentiated,aggravatinginequalities.Hirayama’sfocusisthesustainabilityofahome-ownership-basedwelfareapproachinJapanintermsofemerginginter-andintra-generationalinequalities.Japan’sextraordinarilylargeelderlypopulationaredispropor-tionatelycash-poorhousing-asset-rich,whichisreshapingthedistributionandfunctionofhousingwealth,therebyunderminingtheasset-basedregime.Thesecondarticlefromthisregion,byJudyYatesandBruceBradbury,treatsthecaseofAustralia,wheretherehasbeenalong-standingrelianceonhomeownershipasanindividualisticmechanismforbuildingwealthandenhancinglivingconditionsinretire-mentinthecontextofa‘workfare’approachtopublicprovision(seeCastles).Thispaperexamineshowhomeownershipcanpotentiallyprotecthouseholdsfrompovertyinretirement.Italsoaddresseslikelyfuturetrendsinassetaccumulation,suggestingthat,althoughasset-basedwelfarepotentiallyeasesscalconstraintsuponthestate,itmaywellleadtopoorersocialinsuranceoutcomesforhouseholdswithlimitedsavingcapacityovertheirlifetimes.Unlikemanyotheradvancednations,morethan80%ofretiredAustraliansowntheirownhomeandmostareoutrightowners.Thus,whiletheincomesofolderAustraliansarecomparativelylow,oncehousingcostsaretakenintoaccount,theafter-housingpovertyrateforolderhouseholdsisnotsounusual.However,after-housing-costspovertyratesfornon-home-owningolderhouseholdsarenotablyhigh.Projectionssuggestthatthisgroupwillgrowinsizeinthecomingdecades,leadingtothecollapseinapproachestoretirementincomesincorporatingoutrighthomeownership.SrnaMandic’spaperexplorestransformationsinhousingandeconomicregimesinthetransitionstatesofEasternEurope.Mandichighlightshowcollectivistformsofwelfareandhousingprovisiongavewaytomoreindividualisedriskcoverageandprivatisedhousingconsumptionduringtheeconomictransitionofthe1990sand2000s.Homeownershipexpandedonamassivescaleandtheostensiblewealthitgeneratedoffsetmanyimbalances J.Doling,R.Ronald evidencefortheseeffectsbycomparingaggregatemeasuresofwelfarewithlevelsofhomeownership,whileCastles()conductedmorerigorouscross-countrytesting,ndingsignicant,inversestatisticalrelationshipsbetweenhomeownershipandwelfarerates,which,heargued,wasindicativeofdifferentmodelsofprovidingwelfare.Suchrelationshipshavecomeunderincreasingscrutinyinrecentyears,oneresultbeingtherecognitionthattheconnectionsbetweenhousingandwelfaresystemsvaryconsid-erablyfromcountrytocountry.Ritakallio’s()comparisonofAustraliaandFinlandfoundthattheinclusionofhousingcostsinthecalculationofdisposableincomereducedthedifferencesinpovertyandequalitylevelsthatappeared‘beforehousingcosts’,buttoanextentthatvariedbycountry.ConleyandGifford()alsoidentifyanumberofcountrieswherehomeownershipisanimportantpolicymechanisminamelioratingthedetrimentalsocialeffectsofmarketforcesintheabsenceofredistributiveprogrammes.Nonetheless,evidencethathomeownershipconstitutesafunctionalalternativetopublicwelfarespendingorcanbestructuredinsuchawayastoreducesocialinequalityratherthanenhancingitislimited(Faheyetal.).Morerecently,DewildeandRaeymaeckers)provideevidencetosuggestthatwhilehighhomeownershipratesappeartohavepoverty-reducingpotentialforpensioners,contextsarecomplicatedbythespecicinter-playofsocialtransferandhousingpoliciesineachsociety.Specically,theyfoundadoubledisadvantageexperiencedbythosewhodonotorcannotbuytheirownhomesincountrieswithhighhomeownershiprates.Theyalsoestablishedthatlowrentsinthesocialhousingsectorinsomecountriesmayalsooffsetlowincomesamongtheelderly.3AssetsandpoliciesInrecentyears,concernsaboutthefutureofnationalwelfaresystemshaveledtomanygovernmentspursuingpolicyprogrammespromotingtheuptakeofindividualassetbuilding.Therehavebeenanumberofinitiatives.IntheUSA,IndividualDevelopmentAccountshavesince1997encouragedlower-incomegroupstosavebymatchingcontri-butionswithpublicfunds.Thetotalamountofmoneysavedcantypicallybeusedforfundinghousepurchase,education,settingupasmallbusiness,orapensionannuity).IntheUK,theSavingsGatewayalsomatchessavingsforthosewithlowerincomes,whiletheChildTrustFundprovidesallnew-bornchildrenwithalumpsumpaymentfromthetaxpayerintoapersonalaccount,accessiblewhentheyreach18.Underlyingtheseschemesistheassumptionthatfutureneedscouldandshouldbeself-fundedand,furthermore,thatpolicyshouldplayapartinencouragingsuchbehaviour.Housingmarketshavebeenatthecoreofthesepolicies,ashomepurchaseisnormallyconsideredthemostappropriateinvestmentvehicleforgovernmentsupportedsaving.Malpass(,p.2)suggeststhatthemoredominanttheprivatehousingmarkethasbecomethemoreithasbeenperceivedasapotentialcornerstoneofthenewwelfarestate.Movementinhousingmarketshasprovidedostensibleopportunitiesforindividualstobuildtheirwealththroughprogressupahousingladder,throughthetradeinhomesandeveninvestmentinpropertiestorentout.Thishashelpedtransformhousingpolicieswithsocialrentalhousingresidualisationandthetransferofsubsidiestosupportintermediateandowner-occupiedhousing.Alongwithgovernmentreorientationaroundsavingsandassets,housinghasalsobecomeincreasinglysignicantasamarketcommodity.Ithasbeenarguedthatowner-occupiedhousinghasthusbecomecentralundertheethosofasset-basedwelfaretoanintensicationofexchangerelationsandthenancializationofeverydaylife(Langley Homeownershipandasset-basedwelfare Dewilde,C.,&Raeymaeckers,P.(2008).Thetradeoffbetweenhomeownershipandpensions:theindividualandinstitutionaldeterminantofold-agepoverty.AgeingandSociety,28,805–830.Doling,J.(1999).Housingpoliciesandthelittletigers:howdotheycomparewiththeotherindustrializedHousingStudies,14(2),229–250.Doling,J.,&Ford,J.(2007).Aunionofhomeowners,editorial.EuropeanJournalofHousingandPlanning,7(2),113–127.Doling,J.,&Ronald,R.(2008).Housingasapension,ReporttotheEuropeanCommission,DEMHOWWorkingPaper.Fahey,T.,Nolan,B.,&Maitre,B.(2004).HousingexpendituresandincomepovertyinEUcountries.JournalofInternationalSocialPolicy,33(3),437–454.Groves,R.,Murie,A.,&Watson,C.(2007).Housingandthenewwelfarestate:ExamplesfromEastAsiaandEurope.Aldershot:Ashgate.Haffner,M.(2008).Savingsforoldage?HousingwealthoftheDutchelderly.HousingTheoryandSociety,(2),110–131.Kemeny,J.(1981).Themythofhomeownership:Publicversusprivatechoicesinhousingtenure.London:Langley,P.(2008).TheeverydaylifeofglobalÞnance:SavingandborrowinginAnglo-America.Oxford:OxfordUniversityPress.Malpass,P.(2008).Housingandthenewwelfarestate:Wobblypillarorcornerstone?HousingStudies,(1),1–19.McKay,S.(2002).Thesavinggateway:‘asset-basedwelfare’inaction?BeneÞts,10(2),141–145.Quilgars,D.,&Jones,A.(2007).UnitedKingdom:Assafeashouses?InM.Elsinga,P.DeDecker,N.Teller,&J.Toussaint(Eds.),Beyondassetandinsecurity:On(In)securityofhomeownershipin.Amsterdam:IOSPress.Regan,S.,&Paxton,W.(2001).Asset-basedwelfare:Internationalexperiences.London:IPPR.RICS.(2007).HousingaccessibilityandaffordabilityupdateforGreatBritain.London:RoyalInstituteofCharteredSurveyors.Ritakallio,V.M.(2003).Theimportanceofhousingcostsincrossnationalcomparisonsofwelfare(state)InternationalSocialSecurityReview,56(2),81–101.Ronald,R.(2007).Comparinghomeownersocieties:Canweconstructaneast-westmodel?Studies,22(4),473–493.Ronald,R.(2008).Theideologyofhomeownership:HomeownersocietiesandtheroleofhousingBasingstoke:Palgrave.Rowlingson,K.(2002).Privatepensionplanning:therhetoricofresponsibility,therealityofinsecurity.JournalofSocialPolicy,13(4),623–642.Sherraden,M.(2003).Assetsandthesocialinvestmentstate.InW.Paxton(Ed.),Equalshares:Buildingaprogressiveandcoherentassetbasedwelfarepolicy(pp.28–41).London:IPPR.Torgersen,U.(1987).Housing:Thewobblypillarunderthewelfarestate.ScandinavianJournalofHousingandPlanningResearchSupplement,4(1),116–127.Toussaint,J.,&Elsinga,M.(2009).Exploring‘housingandasset-basedwelfare’cantheUKbeheldupasanexampleforEurope?HousingStudies,24(5),669–692.Watson,M.(2009).Planningforthefutureofasset-basedwelfare?NewLabour,Financializedeconomicagencyandthehousingmarket.Planning,PracticeandResearch,24(1),41–56. Homeownershipandasset-basedwelfare shouldprovideunemploymentandwelfarebenetsaswellasstatepensionstosupplementretirementincomeisstronglyrooted.Crucially,housingisconsideredaprivateissueandseparatedfromthesocialsecuritysphere,whichhaslimitedandshapedthepolicydebateinBelgium.5ConcludingcommentsLookingacrossthepapers,itispossibletohighlightsomecoreissuesgeneratedbyacomparativeappraisal.Firstistheinteractionbetweenhousing,pensions,employmentandwelfareinstitutionsandpractices,whichmanifestandcombinedistinctivelyindifferentcontexts.Thesecombinationsshapenotonlytheeffectivenessofhousing-asset-basedwelfarebutalsothescaleanddirectionsinwhichtheoverallsystemcanbedeveloped.Secondarethedifferencesinhomeownershipsystems,includinghousingmarkets,housingstock,housingnanceandequityrelease,homebuildingandpurchasepractices.Differencesinthesedimensionsmayinhibitorenhancethepotentialofhousingasanasset.Athirdissueconcernsthefeaturesofageingpopulationsandtheirrelativewealth,housingorotherwise,inrelationtobothothergenerationsandwithinthecohort.Anemergentfeatureofasset-basedwelfaresystemsisthedividebetweendifferentgenerationsofhomebuyerswhoserelativemarketadvantagecandisadvantagethosewhofollow.ThisisevidentacrosssocietiesfromtheUKtoSloveniaandJapan.Thesediverseanalysesofdifferentapproachestohomeownershipandasset-basedwelfare,then,providenewandprovocativeinsights.Inrecentyears,debatesonthedirectionofhousingandwelfarepolicyhaveoftenbeenguidedbyassumptionsderivedfromapreponderanceofAnglo-Americancasesandperspectives.Inthewakeofthecurrentcreditcrisisandemergentfeaturesofanewsocioeconomicera,thereisevengreaterurgencyinregardtothere-assessmentofwelfareinequalitiesandreorientationofsocialsecuritypolicies.Theexamples,analysesandargumentscontainedinthisthemededitioncanhopefullyinformpolicydebatesandprovidelessonsfortherestructuringofhousingandsocialsecuritysystems.Attheveryleast,eachofthesearticlesinformsanunderstandingofthepotentialandlimitationsofasset-basedsystemsofwelfareprovisionwhilehighlightingfutureissuesandconcernsregardingthisapproachtosocialriskandpovertyreduction.OpenAccessThisarticleisdistributedunderthetermsoftheCreativeCommonsAttributionNoncom-mercialLicensewhichpermitsanynoncommercialuse,distribution,andreproductioninanymedium,providedtheoriginalauthor(s)andsourcearecredited.Allen,J.,Barlow,J.,Leal,J.,Maloutas,T.,&Padovani,L.(2004).HousingandwelfareinSouthernEuropeOxford:Blackwell.Castles,F.(1998).Thereallybigtrade-off:HomeownershipandthewelfarestateinthenewworldandtheActaPolitica,33(1),5–19.Castles,F.G.,&Ferrera,M.(1996).Homeownershipandwelfare:Issoutherneuropedifferent?EuropeanSocietyandPolitics,1(2),163–185.Chua,B.-H.(2003).Maintaininghousingvaluesundertheconditionofuniversalhomeownership.Studies,18(3),765–780.Conley,D.,&Gifford,B.(2003).Homeownership,socialsecurityandthewelfarestate.NewYorkhttp://www.nyu.edu J.Doling,R.Ronald Homeownershipandasset-basedwelfare JohnDoling € RichardRonald Received:8December2009/Accepted:8December2009
TheAuthor(s)2010.ThisarticleispublishedwithopenaccessatSpringerlink.com 1Introduction Inrecentdecades,thenotionofan‘asset-based’or‘property-based’welfaresystemhas becomeincreasinglycentraltodebatesontherestructuringofwesternwelfarestates (Grovesetal. 2007 ;ReganandPaxton 2001 ;Sherraden 2003 ;Watson 2009 ).Theprinciple underlyinganasset-basedapproachtowelfareisthat,ratherthanrelyingonstate-managed socialtransferstocountertherisksofpoverty,individualsacceptgreaterresponsibilityfor theirownwelfareneedsbyinvestinginnancialproductsandpropertyassetswhich augmentinvalueovertime.Thesecan,atleastintheory,laterbetappedtosupplement consumptionandwelfareneedswhenincomeisreduced,forexample,inretirement,or usedtoacquireotherformsofinvestmentsuchaseducationalqualications. Severalsocioeconomicdevelopmentshavehelpedtoadvancethecauseofasset-based welfare.Ononesidehasbeenacombinationofpressuresbroughtonbytheageingof nationalpopulationsandtheirexpectedimpactonpensionsandpublicwelfareresources, alongwithgovernmentretrenchmentofpublicwelfareprovisionassociatedwithneo- liberalisation.Ontheotherhasbeen,untilveryrecentlyatleast,expandinghome ownershipratesandincreasesinhousingpropertyvaluesacrossmosteconomically advancedeconomies.Essentially,thepotentialwealthtiedupinowner-occupiedhousing hasbeenconsidered,moreorlessexplicitly,tobeasolutiontothescaldifculties involvedinthemaintenanceofwelfarecommitments,andthroughthat,the asset in asset-basedwelfarehasfrequentlybecome propertyorhousingasset (DolingandFord 2007 ). J.Doling CollegeofSocialSciences,UniversityofBirmingham,Birmingham,UK R.Ronald( & ) OTBResearchInstitute,DelftUniversityofTechnology,Delft,TheNetherlands e-mail:r.ronald@tudelft.nl R.Ronald UrbanStudies,DepartmentofGeography,PlanningandInternationalDevelopmentStudies, UniversityofAmsterdam,Amsterdam,TheNetherlands 123 JHousandtheBuiltEnviron DOI10.1007/s10901-009-9177-6