The Effect Of Land Price On China’s Real Estate Market And Its International Comparison

With the economic growth since the reform and opening up,China’s real estate market has developed rapidly and it has become an important support for China’s economic growth.At the same time,the soaring price of land and commercial housing prices not only increased the burden on people’s lives,but also formed a huge impact on China’s economic structure.In particular,the housing prices of 2016,resulted in a very negative impact on social stability and unity.The real estate market has formed a huge obstacle before China’s economic restructuring and industrial upgrading.The real estate market is not only the main driving force of China’s economic growth,but also a strong constraint to the healthy development of China’s macro economy.So,exploring the influence of land prices to housing prices and seeking a more reasonable real estate policy are very important for China.The author used the data of land priced and housing prices of China,with the theory of land rent,the supply and demand theory and location theory,adopted the method of combining theoretical analysis and empirical analysis.Firstly,the author reviewed the relevant literature at home and abroad,and then the author analyzed the formation of land prices and housing price of China,the real estate market policy and the impact of land prices on housing prices.By analyzing the United States and Japan’s real estate markets,this paper compared America and Japan’s real estate markets with China’s real estate market and analyzed their useful experiences.On this basis,the author used data of land prices and housing prices from China,the United States and Japan to carry out the empirical analysis.The results showed that land prices determined housing prices in a short term of 4months to 20 months.Finally,the author gave some policy suggestions from the aspects of land transfer system,land supply,housing supply structure and the development of housing rental market.The author paid his attention on two aspects.The first one is that the author made a differentiating disposal based on the location theory.China’s real estate market is divided into three categories which were first-tier cities,second tier cities.third and fourth Cities in the empirical analysis.This method can avoid the variance caused by the differences of real estate market policy,the per capita income and the population.The second one is the comparison with United States and Japan by the theoretical analysis and empirical analysis.With the comparison,the author explored the shortcomings of China’s real estate market,the successful experiences of America and the lessons of Japan.By the comparison,the author gave some interesting suggestions for China’s real estate market on three aspects:improving the real estate market policies,developing housing rental market and avoiding the potential risks from the real estate market.