Research On The Information Transmission Efficiency Between Chinese Housing Market And Land Market

Based on the data of 30 second and third-tier cities,this paper uses the changes of housing price and the changes of land price as proxies for housing information and land information,respectively,to study the information transmission efficiency between Chinese housing market and land market and its difference across regions and development levels,with the method of Granger Causality test and impulse response function analysis.Anymore,this paper studies the effect housing purchasing restriction policy on the information transmission efficiency between Chinese housing and land market.The main conclusions are as follows.Firstly,the distributions of housing prices and land prices differ across regions obviously.To be detail,the housing and land prices of eastern region is significant higher than that of central and western regions and the difference between the later two regions is smaller.The price and its fluctuation of second-tier cities both are higher those of the third-tier cities.Meanwhile,the cancel of purchasing restriction improves the housing price and land prices,and the land prices rise much faster.The housing prices of eastern region rise relatively quickly,and that of second-tier cities rise relatively quickly.The land price of central region and second-tier cities have risen fairly quickly.Meanwhile,the cancel of purchasing restriction also change the fluctuation of housing and land prices.Secondly,for the whole sample,the information transmission efficiency between Chinese housing and land market is very low,and the information transmission between the two markets is not statistically significant.However,the effect of housing information on land price change is higher than the effect of land information on housing price change,and the information transmission efficiency inner land market is higher than that of housing market.And next,by combing the transmission channel,the effect of information and the transmission speed,this paper finds that the information transmission efficiency of central real estate market is higher than that of eastern and western markets,and the information transmission efficiency of second-tier real estate market is higher than that of third-tier cities.Thirdly,by combing with the empirical study on the eastern,central and western regions and the study on the second and third tier cities,this paper finds that after the cancel of housing purchasing restriction,the information transmission efficiency between Chinese housing market and land market becomes higher,and it is much significant in central and second-tier cities.There are three main innovations of this paper.The first is study on the second and third-tier cities,while the existing literatures mainly study on the first-tier cities and the municipalities,which can offer more empirical evidence for the research on the information transmission efficiency of real estate market.The second is to use the changes of land prices and housing prices to represent the land information and housing information,which makes the estimation much more accurate.The third is study on the effect of housing purchasing restriction policy on the information transmission efficiency and its difference across regions and development levels.