Effects of Rent-Controlled Public Housing on the Supply of Private RentedHousing and Household Mobility in Malawi: A Case Study of Malawi Housing Corporation
American Journal of Theoretical and Applied Business
Volume 4, Issue 1, March 2018, Pages: 1-7
Received: Sep. 13, 2017; Accepted: Sep. 29, 2017; Published: Feb. 26, 2018
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Sane Pashane Zuka, Department of Land Economy, University of Malawi, Blantyre, Malawi
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Abstract
Despite global policy shift towards liberalization of the housing market, different forms of rent control have still remained in a number of countries. Most of these controls are currently uphold by the view that they are different from the old forms that involved complete freezing of the nominal rents. Generally, this view has been sustained by lack of in-depth studies on the remaining forms of rent control. This paper fills this gap by examining the effects of rent-controlled public housing sector on the supply of private rent housing and household mobility in Malawi. The findings from Malawi demonstrate that the effects of rent control are varied and depend on the nature of residential market as well as the political environment under which the rent controls are implemented. Under dictatorial regime, rent controlsin Malawi produced negative effects on both the supply of private rent housing and household mobility. This is consistent with existing studies from many other countries. However, after adoption of liberal democracy and economic policies, rent controlhas produces varied outcomes. While its effect on constraining household mobility remains undisputable, rent control in the public housing sector has insignificant effect on the supply of private rented housing. These differences may be explained by the fact that during dictatorial regime private housing sector in the country was also de facto under rent control.
Keywords
Malawi, Rent Control, Public Housing, Household Mobility, Private Rented Housing
To cite this article
Sane Pashane Zuka, Effects of Rent-Controlled Public Housing on the Supply of Private RentedHousing and Household Mobility in Malawi: A Case Study of Malawi Housing Corporation, American Journal of Theoretical and Applied Business. Vol. 4, No. 1, 2018, pp. 1-7. doi: 10.11648/j.ajtab.20180401.11
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Copyright © 2018 Authors retain the copyright of this article.
This article is an open access article distributed under the Creative Commons Attribution License (http://creativecommons.org/licenses/by/4.0/) which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
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