Homeownership on the Political and Economic Behavior of the Poor

Subsidized low-income housing programs can be found in urban centers in Brazil, Mexico, Chile, Argentina, Kenya, Ethiopia, and every major city in India. Tanu Kumar evaluates one such program implemented by the Maharashtra Housing and Area Development Authority (MHADA) in Mumbai, Maharashtra. Faced with overwhelming demand, this particular program is implemented through a lottery system, thereby allowing causal identification of its effect among applicants. This study surveys 1000 winners and non-winners of this program to identify the impact of property ownership on political and economic behavior. Outcomes to be investigated include access to loans, candidate choice at election time, knowledge of local government affairs, demand for local service quality, investment in education, psychological well-being, and belief in market values. This project is comprised of two phases, both of which received CEGA funding. Results forthcoming.