Reflecting On The Government Regulation Of China's Mortgage Market From The U.S. Subprime Mortgage Crisis

Began in early 2007, the U.S. Subprime mortgage crisis has been turned into a hurricane that affected the global financial markets through Butterfly Effect, and the global capital markets was dragged into a new crisis. Although today, the shadow of the crisis is being gradually dissipated. But the Sub-prime crisis is still subject to people's attention. Everyone are thinking about these questions: How did the Subprime mortgage crisis happen? Why did it produce such big impacts? In post-crisis era, what should we do to strengthen financial supervision and prevent similar crises from happening again? In this context, systematically summed up the experiences and lessons of the Sub-prime crisis, and reflect on its enlightenment to the Chinese government for improving the regulation of its mortgage market. All these will be of great practical significance to ensure sustainable and stable development of China's real estate industry.This paper is written based on this purpose. And it is divided into four parts:The first part is the introduction. It mainly introduces the research background and significance, research ideas and methods, framework and innovations. What's more, the Literature Review briefly introduces the literature available.The second part is the analysis of the U.S. Sub-prime mortgage crisis. This section firstly explains the concept of Sub-prime crisis, then analyzes the causes of the Sub-prime crisis, and in regard of this, the author offers the Sub-prime crisis's general revelation to government regulation on mortgage market.The third part is present situation analysis of China's mortgage market. This section is mainly to make comparisons on mortgage market between China and the United States. By this comparison, we can see the potential risks and the unique features of China's mortgage market, so as to pave the way for the next section. Because the next section will describe the Sub-prime crisis's inspiration to China's government regulation on mortgage market.The fourth part is to improve the government regulation of China's mortgage market. Based on the analysis of the previous paper, and from risk prevention and market supervision perspective, the author puts forward some specific measures for improving the government regulation of our country's mortgage market.