Research On The Monetary Policy Regulation Of Commercial Housing Price In China

Since 2000, China's commodity housing market has developed rapidly; it not only prospered the real estate market, but also made itself a pillar industry of national economy. Meanwhile, it significantly improved the living conditions of urban residents in China. Although, with the rapid development of commodity housing market, the unusual fluctuations in the price of commercial housing has become a big obstacle for sustainable development in the residential market .From 2000 to 2008 Q2, In order to stabilize prices and prevent price from rising, the central bank introduced a series of timely macro-control measures of monetary policy, but with little success. In 2008 Q3 to 2008 Q4, commodity housing prices continued to fall. In order to maintain steady growth of commercial housing market, the central bank issued a series of "rescue "policy and succeeded in preventing the continued decline in prices of commodity housing.This paper will analyze the effects of China's monetary policy of controlling commercial housing price from 2000 to 2008 ,then summary and study why the ineffective regulation of China's monetary policy of controlling commercial housing price from 2000 to 2008 Q2,but the successful prevention of China's monetary policy of controlling commercial housing price in 2008 Q3 to 2008 Q4.In order to analyze the monetary policy variable changes on domestic prices of commodities, this article will introduce the variable of monetary policy decisions of commodity housing price model, combined with the amended CC-LM model to construct the variable changes in monetary policy affect the commercial housing price changes, the equation system . Through theoretical analysis shows that monetary policy regulation of commercial housing price effect depends on the specific market conditions, the loan interest rate and commodity prices are expected to growth in the size of the house. Different market conditions will determine whether changes in monetary policy variables, changes in housing demand and supply of goods and thus the economic behavior of both the success of the regulation of prices of commodity houses. To test the theoretical analysis of the accuracy and reliability of the results of this paper, through the establishment of VAR model from 2000 to 2009 Q2, China's monetary policy control the effects of commodity housing prices empirical analysis, empirical analysis results show that the money supply of commodity housing price rise has a positive role in promoting, while the lending rates of commercial housing prices is not sensitive to the impact of the response.In the theoretical analysis and empirical basis of the analysis, this paper reached the conclusion of the study: China's monetary policy control the effects of commodity housing prices depends on the specific market conditions, the central bank to implement unilaterally change the behavior of commodity housing demand monetary policy can effectively to prevent the commercial housing prices rose sharply. In the commercial housing prices continued to decline during the central bank's loose monetary policy through the introduction of purchase of goods and thus reduce the interest cost of housing and financial requirements, can effectively prevent the continued decline in housing prices of goods and thus to maintain the stable development of commercial housing market.