A Research Of Real Estate Bubbles And The Prevention In China

However all the people focus on the problem about whether the price of real estate is rational and economic bubble exists in the market or not. And the reason for the change is that the percentage of real estate investment and the loan in the industry of real estate increase quickly, furthermore the prices of the houses rise widely and rapidly in more and more cities in China.The thesis starts with this one phenomenon being in progress studying .Firstly, the author gives the definition of real estate bubble, and analyses the mechanism of shaping, developing and breach of the bubble, and introduces the domestic and overseas scholars' research on the method of testing the bubble. Later positive analysis bases on the previous theory about real estate bubble.Secondly, according to the collecting data about the industry of real estate and macro-economy, the author makes use of graphs and tables of the data and analyses the circumstance of investment, sale and change of price in real estate market, and estimates the condition in real estate market primarily. Fourthly, the author takes measure to analyse the reason why the price of houses rose quickly by using theoretical.Thirdly, the author describes the situation of real estate industry in China and then chooses three indicating indices of real estate bubbles to begin his research. By calculating the compositive coefficient of real estate bubbles, the author verifies the countrywide level and regional level of real estate bubbles and draws the conclusion that there is real estate bubbles both in countrywide level and some regional level. At last, use abroad real estate business experience and lessons in developing process for reference , having submitted our country real estate bubble early warning and a little suggestion keeping watch combining with the concrete conditions that Chinese real estate business develops.