Government Regulations On Real Estate Industrial

In recent years, the overheated investment, high prices and structural imbalances and other issues have become increasingly prominent topic in the real estate market, the real estate bubble which caused by these factors such as information asymmetry, disorderly skyrocketing price, illegal operations and speculation, market monitoring failure, and regulations lagging will undoubtedly increase the financial risks and social risks. It is impossible only rely on market mechanism's spontaneous adjustment to deal with these problems, It will become an important topic.to strengthen government regulation research and for government to balance the real estate market.In this paper, industrial economics theory, institutional economics theory and government regulation theory, and normative analysis, empirical analysis, comparative analysis, quantitative analysis and other methods were used by using game theory, combining the experiences and lessons of other countries, study the government regulate and market competition mechanism of China's real estate market, and on the condition of market failure, the government how to maintain competition and play the role of government regulation in the same time, avoiding government rent-seeking and market failure, to stabilize the market and prevent the real estate bubble; at last, we provide ideas and suggestions to the policy of our country's government regulation on the real estate market.In this paper, I suggested that the land resources scarce and immovable property of the real estate market form the characteristics of monopoly; the information asymmetry, the monopoly of the land market and the common interests make the local governments and real estate developers become an interest groups to promote price increase; the independent pricing policy of the real estate market and monopoly cause real estate profits, which are the reason of the high price and property speculation and invest on the real estate; the central government's administration, finance, taxation, land and other means on the real estate market can not effectively curb the rising price; on one hand the impact of these measures have longer hysteretic, on the other hand, the real estate profiteers can transfer the costs easily, pushing prices up further, and causing serious price distortions; research shows that price regulate is more direct and effective than land regulation, tax and credit regulation and so on. Cutting the seller-led market forces and achieving balance of interests is the key of the government formulate the policy direction and achieve government control. Information disclosure system and the establishment of supervision mechanisms have a certain significance of maintaining market prices. In addition, at this stage, based on the real estate market's predatory pricing, the government's price regulation is the most direct and effective means. But with the perfection of market structure of the low-cost Housing, cheap housing, low-cost housing and commercial housing, the Government should relax controls on the real estate market.The main innovation points of this paper are below: 1, analized the current situation of China's real estate from the perspective of industrial economics, it makes us understand the characteristics of the real estate market more clearly, provides the idea and evidence for further standardizing the development of the real estate market. 2, Proposing that government should implement price regulation on the real estate market, and integrating land regulation, financial regulation and the tax regulation policy, this will providing the reference for China's real estate policy's formulation and implementation.