The Study On Macroeconomic Controls In Real Estate And Market Prices

Real estate industry acts a leading, supporting and basic role in national economy; its development has great affections on the development of cities and other industries, even leads to cyclical movements of economy. Over-investments in real estate and rapid increases in the price of realty during the last two years have aroused the attention of the whole society. From the historic experiences of changes of real estate prices in some developed countries (areas), if prices rise significantly in short time may have consequences such as real estate bubbles, breakage in financial system and long economic depression. If this goes on in a longer time, it will affect purchasing ability of citizens. Negative affections will incur if there are too many residence problems. The government has brought out a series of polices to control real estate prices, and they proves to be effective. It is worthy of studying and researching on how to use macroeconomic controls to control the rapid increases and minimize fluctuations in real estate prices.This paper studied on the relations between macroeconomic controls in real estate and market prices. From the point of view of economics and situations of real estate market of Shanghai, the paper demonstrated the significant effects of macroeconomic controls in real estate on its prices. It summed up the factors that affect macroeconomic controls in real estate. With our past and foreign experiences, the paper gave some suggestions on the coming macroeconomic controls in real estate.In the first chapter, the paper discussed the definition, aims, classification and meanings of macroeconomic controls in real estate. Then it analyzed the supply and elasticity of supplies, present types and elasticity of demands in real estate. It came out a conclusion that macroeconomic controls in real estate affect prices through affecting movements of supplies and demands in real estate.In the second chapter, the paper made a detail discussion on the transferring system from macroeconomic controls in real estate to prices...