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Explaining Spatial Distribution of the Middle Class: A Multiple Indicator Approach with Multiple Explanatory Dimensions

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Abstract

This study attempts to investigate the pattern of the middle class in the Seoul Metropolitan Region and to explain why such a pattern occurs from spatial perspectives. For this purpose, the middle class are first defined based on four indicators: income, education, occupation and housing. Then, the spatial concentration of the middle class are explored by each indicator for 2010. The explanation of the pattern is pursued based on four dimensions often considered as critical factors in residential location decisions of the middle class: neighborhood, employment, consumption and educational environment. The findings suggest that the spatial distribution of the middle class generally shows a combination of concentric and sector models as we go farther from Seoul. The results of the global and the local regression analyses suggest that employment (producer service jobs) and educational environment (private after-school educational institutes) are important dimensions in explaining the residential location of the middle class in the Seoul Metropolitan Region.

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Notes

  1. Boterman et al. (2010) exploring the spatial pattern of the middle class in Amsterdam is one of a few exceptions.

  2. Ongjin, composed of 113 islands, Yeoncheon, Yangpyeong and Gapyeong do not have information on Jeonse deposit of apartment units, the proxy of income for defining the middle class.

  3. Although use of a more disaggregated spatial unit can improve the reliability of the statistical results, data required for deriving the dependent variables such as education, occupation and housing are available only at the sub-administrative area or place level from the Korean Statistical Information Service, the official provider of the government data. In addition, the existence of the middle class can be underestimated by Jeonse deposit of apartment units, the proxy of income, if we adopt more disaggregated spatial units in that there will be too many zeros in the dataset.

  4. A more comprehensive discussion on the rationale of the indicators and their standards is provided by Hong (2005) and Korean Sociological Association (2008).

  5. Hong (2005) uses 66 for the owned and 99 square meters for the rented. While no data on house size distinguish between the owned and the rented, we use 66 in this study in order not to exclude home owners with relatively small housing units. This is also comparable with the standard of income in that 90% of the average house size is 67.6 square meters.

  6. Despite the fact that the amount of Jeonse deposit and household income may not have a perfect correlation, the former is the only variable related to the latter that we can extract the proportion of the subjects (people or houses) satisfying the standard in each spatial unit of analysis as the other three indicators.

  7. In addition to the variables listed in Table 2, two sets of employment accessibility measures (for total employment and producer service sectors) as well as the number of cafes (for measuring an aspect of cultural consumption of the middle class) were included in the initial estimation, but later excluded since they all showed variance inflation factors (VIFs) higher than 10 suggesting a significant multicollinearity problem. The variables of the resultant regressions have VIF values between 1.3 and 4.2. A dummy to reflect the difference between Seoul and non-Seoul locations for showing regional transition between spatial units inside and those outside Seoul was also considered, but removed from the final estimation since this variable was not significant (showing confidence level between 0.15 and 0.40).

  8. https://sgis.kostat.go.kr/view/house/houseAnalysisMap

  9. The optimal bandwidth size obtained in all five GWR models is 70 after four iterations.

  10. The notations of the equation are from Nakata (2014).

  11. Spatial dependence is tested to specify the appropriate model for spatial treatment, if necessary, between spatial lag and error models. However, the test on the OLS residuals does not detect any type of spatial dependence suggesting that OLS will not induce bias in estimating the coefficients.

  12. The study of Kim and Lee (2007) analyzing the factors influencing the housing price in and near Seoul suggests similar results regarding the impacts of public and private after-school educations as in this study.

  13. dongA.com ‘The standards of the new middle class that people perceive are much higher than those established by the government,’ by Dohyeong Kim and Jihyeon Roh May 13 2015 (http://news.donga.com/3/all/20150513/71209263/1) (Accessed 13 May 2015).

  14. Jungdeungurigyoyuk (Our Secondary Education) ‘Special law is required for reducing education gap,’ by Yeongjae Kim May 1 2006.

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Acknowledgements

This work was supported by the Institute for Korean Regional Studies, Seoul National University. The authors thank Cheonghun Lee, a former graduate student in the Department of Geography, SNU, for collecting and compiling the database.

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Correspondence to Jungyul Sohn.

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Appendix Administrative units in SMR

Appendix Administrative units in SMR

id

Regional

Local

Sub-local

1

Seoul

Jongro

 

2

Seoul

Jung

 

3

Seoul

Yongsan

 

4

Seoul

Seongdong

 

5

Seoul

Gwangjin

 

6

Seoul

Dongdaemun

 

7

Seoul

Jungrang

 

8

Seoul

Seongbuk

 

9

Seoul

Gangbuk

 

10

Seoul

Dongbong

 

11

Seoul

Nowon

 

12

Seoul

Eunpyeong

 

13

Seoul

Seodaemun

 

14

Seoul

Mapo

 

15

Seoul

Yangcheon

 

16

Seoul

Gangseo

 

17

Seoul

Guro

 

18

Seoul

Keumcheon

 

19

Seoul

Yeongdeungpo

 

20

Seoul

Dongjak

 

21

Seoul

Gwanak

 

22

Seoul

Seocho

 

23

Seoul

Gangnam

 

24

Seoul

Songpa

 

25

Seoul

Gangdong

 

26

Incheon

Jung

 

27

Incheon

Dong

 

28

Incheon

Nam

 

29

Incheon

Yeonsu

 

30

Incheon

Namdong

 

31

Incheon

Bupyeong

 

32

Incheon

Gyeyang

 

33

Incheon

Seo

 

34

Gyeonggi

Ganghwa

 

35

Gyeonggi

Suwon

Jangan

36

Gyeonggi

Suwon

Gwonseon

37

Gyeonggi

Suwon

Paldal

38

Gyeonggi

Seongnam

Sujeong

39

Gyeonggi

Seongnam

Jungwon

40

Gyeonggi

Seongnam

Bundang

41

Gyeonggi

Uijeongbu

 

42

Gyeonggi

Anyang

Manan

43

Gyeonggi

Anyang

Dongan

44

Gyeonggi

Bucheon

Wonmi

45

Gyeonggi

Bucheon

Sosa

46

Gyeonggi

Bucheon

Ojeong

47

Gyeonggi

Gwangmyeong

 

48

Gyeonggi

Pyeongtaek

 

49

Gyeonggi

Dongducheon

 

50

Gyeonggi

Ansan

 

51

Gyeonggi

Goyang

Deokyang

52

Gyeonggi

Goyang

Ilsan

53

Gyeonggi

Gwacheon

 

54

Gyeonggi

Guri

 

55

Gyeonggi

Namyangju

 

56

Gyeonggi

Osan

 

57

Gyeonggi

Siheung

 

58

Gyeonggi

Gunpo

 

59

Gyeonggi

Uiwang

 

60

Gyeonggi

Hanam

 

61

Gyeonggi

Yongin

 

62

Gyeonggi

Paju

 

63

Gyeonggi

Icheon

 

64

Gyeonggi

Anseong

 

65

Gyeonggi

Gimpo

 

66

Gyeonggi

Hwaseong

 

67

Gyeonggi

Gwangju

 

68

Gyeonggi

Yangju

 

69

Gyeonggi

Pocheon

 

70

Gyeonggi

Yeoju

 

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Sohn, J., Oh, S.K. Explaining Spatial Distribution of the Middle Class: A Multiple Indicator Approach with Multiple Explanatory Dimensions. Appl. Spatial Analysis 12, 871–905 (2019). https://doi.org/10.1007/s12061-018-9275-5

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  • DOI: https://doi.org/10.1007/s12061-018-9275-5

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