The Spillover Effects Of The Sectors

Both academics and practitioners attach high importance on the relationship between different industries, because the operation of any industry is not isolated, in fact there is a relationship of mutual promotion and mutual restraint between them. In the context of economic globalization, industrial chain complexity and the risk of proliferation, how to enhance the industry analysis and research from the perspective of industry association, grasp the prospect of the industry and manage industry risk comprehensively, accurately has become an import issue for theorists and practitioners. Therefore, we set the real estate industry as an example to study the inter-industry linkage and spillover effects.In this paper, the idea is as follows:First of all, through qualitative analysis, comb the development process of China’s real estate industry, study the industry chain structure. Taking associated tightness into account, we chose five industries as a key analysis object including building materials, decoration, white goods, electrical and steel industry.Secondly, we select the real estate industry and five related industries SWS industry index as the study sample, analyze the mean overflow effect. Through correlation analysis, Granger causality test and regression analysis, it shows there is a strong linear correlation relationship between the real estate industry and other industries with correlation coefficients ranging between0.7116and0.7995.Finally, study the fluctuations overflow effect by multivariate GARCH Model. The study shows the six industries index price exhibits linear ARCH effect.