Research On Relationship Between Urban Development And Real Estate Industry

In the process of urbanization, local government regard real estate as the city's basic industries and pillar industries, regard real estate as an important source of local fiscal revenue, they promote the real estate as a major force in urban economic development. It is worth pondering whether such a blanket real estate location is conducive to the current stage of China's urban development. Based on the relationship between urban development and real estate research on real estate in urban development functions and status of Discrimination, questioned the pillar industry status of the real estate industry and the pulling effect of the urban economy at this stage, vigorously opposed to the Housing building as the primary way to promote urban development. This paper uses Input-Output method, Cointegration tests and causality test method, qualitative analysis and the Combination of vertical comparison method.This paper firstly discusses the relationship between urban development and the real estate theory, study the related concept and range of real estate, and introduce the theory of Input-Output model and Cointegration test. Proposed urban development is the core issue of the choice of urban industry, it put urban development process in the functional analysis of the real estate as the foundation in theory.Secondly, on the basis of land resource scarcity, population expention in the city. and the combination of the urban development strategy of theory and the real estate industrial strategy,we find that a correct understanding of the role of the real estate industry will enable the urban to make full use of the environment for increasing industrial competitiveness and vice versa.Moreover, using the associate degree and spill-over effects method of the Input-Output model and method of Cointegration test analyze the relationship of the urban development and the real estate, we find that they have a correlation between the issue in the development and the not proper location of real estate.Finally, after the analysis, we give the recommendation on the relation ship between the urban development and the real estate. It makes recommendation on the three aspects. They are the government macro management, city government supervise and corporation micro management. They positioning on the government decision-making reference.