A Study Of Factors Ragarding China's Commodity Housing Price Bubble

From the perdition of the Japanese housing bubble in 1980's, and from the US sub-prime loan crisis leading to global financial crisis, we can see enough that the healthy development of real estate industry is a key factor of a country's economy. For the time being, in China's commodity housing market, there is concurrence of investment and speculation. The bubble of this market is becoming more and more serios, and it has threatened the steady development of or country's economy. Therefore, researching for the bubble of commodity housing, has become a very important topic for Chinese scholars. Through the research, it can help us realize the rule of commodity market, make use of this rule to establish nice reglution and control policies for real estate , ensure the healthy development of commodity market, and promote the consisting development of our country's economy.This paper firstly defines the conception of commodity housing price bubble and introduces the history of our country's real estate market and the price trend of our country's commodity housing . Secondly, we make use of capital boundary income to measure the whole country's and the 19 central cities'commodity housing bubbles respectively. Thirdly, from the relationship of the supply and the demand of commodity housing market, we analyze the formation mechanism commodity housing price and its bubbles and analyze the factors that affect those bubbles. Then, we use time series model and panel data model to analyze factors affecting the formation of commodity housing bubbles. Lastly, according to the conclusion of the analysis of this paper, we bring forward our suggsetion for policy makers.