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

In recent years, the markup of commercial housing price fell a little, but the overall trend still showed up, and in some areas, commercial housing price remained high. Since 2001, The People's Bank of China has issued a series of measures to stabilize commercial housing price, despite a certain degree of effectiveness, but the overall effect of regulation is not satisfactory.This paper analyzes the effect of the monetary policy regulation on commercial housing price, according to the order of "Country-Shenzhen City". First, in the sight of the whole country, through the study on the regulating effect of the monetary policy by stages, it reveals the obvious effect in 2005-2006, but the effect varies with the regions; in 2001-2004 and 2007, the impact of regulation is not ideal; Even so, the monetary policy still plays the role of restraining commercial housing price from jack-up and its impact gradually appears. Then, using the data of late 9 years from 1999 to 2007, the effect of the monetary policy regulation on commercial housing price in Shenzhen City can be tested by empirical analysis. It indicates that the monetary policy, by adjusting the money supply and interest rate, can control commercial housing price, but a weak role in the short term. In other words, its ability to regulate commercial housing price is relatively limited; by comparison, the land policy and income policy get more significantly effectual. So, it has been concluded that the monetary policy, to a certain extent, is capable of regulating commercial housing price, but its ability is limited; and the regions differ widely in the effect of regulation; as time goes by, the effectiveness of the monetary policy is gradually increasing. Finally, to improve the regulating effect of the monetary policy, the paper proposes several advices.