Socio-spatial differentiation in Hong Kong : the relationship between spatial segregation and the real estate market

Abstract

Hong Kong displays some of the world’s highest levels of income inequality. A recently constructed Global Segregation Thesis posits that world cities are presenting a converging trend of increasing income inequality leading to increased socio-economic segregation. Yet most research suggests that levels of socio-economic segregation in Hong Kong are either decreasing or low in comparison to other global cities of a comparative level of inequality, leading Hong Kong to experience a paradox of segregation. Therefore, this study operationalises the Multi-factor Approach to Segregation and seeks to explore the trends of socio-economic segregation in Hong Kong from 2011 to 2021 using two different census datasets. In order to explore the complex dynamics of segregation in Hong Kong, this study utilises a comprehensive assortment of modern segregation analytic tools, including single-group measures, between-group measures, multi-scalar profiles, segregation decomposition, inferential statistical testing, and local bivariate analysis. The empirical findings suggest that segregation in Hong Kong experiences statistically significant levels of socio-economic segregation, and while overall decreasing in segregation, changes are relatively minimal. Results also highlight how Hong Kong is characterised by extreme micro-segregation levels that stem from the city's high-density nature and the spread-out structure of the major housing estates. The poverty rate is found to have a negative relationship with the segregation of top occupational groups across Hong Kong, while lower occupational groups tend to see small pockets of increased poverty correlation in areas such as New Towns and older Urban Areas. Despite Hong Kong’s high levels of inequality, the segregation rate appears to be relatively consistent due primarily to the large public housing welfare system in place. However, at the local level, distinct changes in the city's social geography appear to be taking place, which cannot be seen by global-level measures.