Social transformations, housing and socio-economic segregation in the fast-track reform countries

The kaleidoscope of gentrification in post-socialist cities

“…As a result of privatisation and economic restructuring, income disparities gradually grew while, owing to the dismantling of the socialist welfare regime, social subsidies largely disappeared. Socio-economic inequalities increased within these societies (Tammaru et al, 2017). However, as the first rigorous cross-country comparison of socio-economic segregation in CEE cities found (Marcińczak et al, 2015), despite growing income inequalities the level of segregation in post-socialist capital cities was still either low or very low in 2000.…”

“…Social stratification and the appearance of a wealthy middle class were also prerequisites for post-socialist gentrification. After the introduction of a market economy, the previously homogeneous societies became gradually fragmented (Gentile et al, 2012; Musil, 2005; Tammaru et al, 2017). As the stratum of new affluent middle class started to grow, the social environment of gentrification became gradually established (c12; Ruoppila and Kährik, 2003; Sýkora, 2005, 2009).…”

Do market forces reduce segregation? The controversies of post-socialist urban regions of Central and Eastern Europe

“…Finally, let us consider the general factors of segregation. There is a near consensus in the literature that residential segregation in cities is basically the outcome of three intertwining structural factors: wealth inequality, the functioning of the housing market and ethno-religious differences (Tammaru et al, 2017). The role of wealth inequality is clear: the level of purchasing power basically determines who can reside in which part of a particular city.…”

“…Later on Tammaru et al (2017), using 2001 and 2011 census data in a cross-country comparison, came to the conclusion that socio-economic inequalities unanimously increased in the investigated cities after the turn of the millennium. The level of socioeconomic segregation was measured by the dissimilarity index of the top and bottom socio-economic groups in five post-socialist cities (Budapest, Prague, Riga, Tallinn and Vilnius).…”

“…This is very similar to the effects of post-socialist transformation. Due to the almost complete commodification of the existing public housing stock, CEE countries created super homeownership tenure after 1990 (Tammaru et al, 2017). As the private rental sector had already been completely abolished after World War II, owner-occupied housing became dominant in the majority of CEE cities, which meant an obstacle for higher mobility rates.…”