Analysis on Korean Public Rental Housing Market based on System Thinking

Although the Korean government have made a plan of housing market with supply and concentrated on the welfare of the people, there are still a lot of problem in housing market for lack of a long-term vision and consistent policy of the government. The plan of 115% of housing diffusion in 2012 is in progress after its acquisition of 100% in 2002, but there are no changes in the rental housing rate of 43% in 2003. In addition, there are getting worse circumstances in the instability of housing market and the low-income bracket, because of the Korean construction firms' bankruptcy with an increase of unsold hosing and a rapid increase of housing prices. The government have made the strategy of revitalizing the economy and regional development by means of a million public rental housing plan for the low-income bracket and welfare. This paper introduces the basic information of the subjective strategy establishment with the analysis of the reciprocal action of influence factors for public rental housing by system dynamics theory and the effect of public rental housing in housing supply market which has a long-term dynamic form.