The Japanese Real Estate Bubble Formation And Collapse And Its Enlightenment To China

After the Second World War, the Japanese economy rising from the ruins has made some brilliant achievements after decades of development.To the 1980s, Japan has become the world's largest creditor, the Japanese Yen has become the world's third largest reserve currency, the total foreign exchange reserves in the country has reach more than 8%.But the rapid development of natural hidden behind the crisis,after the" Plaza Agreement" in 1985, the Japanese yen began to be a substantially continuous appreciation,under the guidance of the " Maekawa report",the government of Japan interest rates down to very low,and made a massive increase in expenditure,at that time because of a not perfect liberalization of financial support, Japanese land price skyrocketing,coupled with the government's wrong monetary policy, eventually led the Japanese real estate bubble economy to formation and rupture.The Japanese real estate bubble,began to accumulate from the nineteen seventies,and break in the early 1990s, It is the longest bubble in the history.The price bubble burst from 1991, up to now, Japanese economy has not out of the flat shadow, after the lost 10 years is another lost 10 years.Compared with the present economic situation in China,China is very similar to the Japanese real estate bubble economy formation period in the 80 years of the last century.For example, the both country all has a huge trade surplus with the United States,also has the pressure to bring the currency to appreciate;Both in a financial liberalization and the country also has the monetary liquidity surplus;The two countries are dependent on the export oriented economy and drives the development of the national economy,facing the problem of insufficient domestic demand and so on.But also there have some significantly differents between the two countries,for example,the city progress and economic bubble of the same degree is different.The economic development of China is too fast, the process of economic development has accumulated a lot of problems that solve urgently,one has associated close with the economic,also is the problem that the whole society pay close attention to,is the real estate market overheating. From the view of the development from the national,the rise of the great powers stage is also prone to bubble economy period,after the bubble economy, it is the economic recession and deflation.Although China does not has the full foam at present,but the asset prices rise too sharply and RMB appreciation,local bubbles are really exist.Under China's current economic situation,the trend of real estate and is no longer a simple economic phenomenon,It has closely linked together with the society,people's livelihood,the national economy and the financial system security issues.Real estate industry has a high industry association,drive strong,technical requirements for low,and has a big employment demand of industry. A prosperity real estate market can help the finance, trade, national industry and the upstream and downstream industries,as well as the derived related industry,It gives them opportunies and development,but once the real estate collapse,the bad consequences caused will be unbearable.Currently these promoting factors in the macroscopical economy background and real estate market of China,many are similar with Japan.So we should be a warning to the Japanese real estate bubble,avoid repeating its mistakes,understanding the real estate bubble formation and collapse of Japanese, learn from the lessons and inspiration of Japanese bubble economy,to prevent and control the signs of China's real estate bubble.This paper uses the theory and the method of combining empirical analysis, using the real estate bubble theory and economic data analyzed on the Japanese real estate bubble, at the same time use the data and diagrams to explain. Specifically, this paper consists of seven chapters. The first chapter, discusses the topic's background, purpose and significance, give a brief overview to the domestic and foreign research present situation, illustrates the structure arrangement, innovation and shortcomings.The second chapter, The paper first establishes the concept of the real estate bubble,analysis the general,the reasons and harmfulness form the real estate bubble.The third chapter,introduces the Japanese real estate bubble background, The "Plaza Agreement" and the Japanese yen Rise how to give Japan's economic the impact.The fourth chapter, the paper discusses and analyses the Japanese real estate bubble and the collapse of the related factors, provide the reference to control China's real estate and real estate market healthy operation.The fifth chapter, the paper use Japan's situation to compared to Chinese current real estate market,analysis through comparing the same and different factors between the two countries impact on the real estate market, in order to make judgments and provide suggestions below.The sixth chapter, make a conclusion of our country whether real have the estate bubbles existent,and separately from the land management and financial monitoring to get the advice.The contents are:①To perfect the related land policy, normative land market;②Gradual implement the financial liberalization, build orderly financial market of housing;③Expand domestic demand cautiously, widen investment channel;④Use the monetary policy tools to control the real estate market. reduce foreign exchange to control real estate prices. Because of my limited academic level, plus the data collection is insufficient, cause the theoretical analysis is not deep enough. Therefore, the author will be more serious about the future study and research, and constantly improve the research ability and academic level.