Research On The Differences In The Impact Of Monetary Policy On The Structure Of Residential Supply And Demand

In recent years, the high price makes the residential market become an importanttarget of the central bank’s monetary policy. In the process of practice, China’smonetary policy is not to control price directly, but through the regulation of the supplyand demand side, such as the cost of the investment funds and loans for housingconsumption, in order to achieve overall optimization of the structure of residentialsupply and demand, and thus affect price indirectly. Therefore, the study on the impactof monetary policy on the supply and demand of different types of residential markethas realistic significance to ensure the development of China’s residential markethealthy, stable and sustainable.This article first describes the theoretical basis of the research on the effects ofmonetary policy on the residential market systematically, and then reviews the historyof monetary policy regulate the residential market, analyzed the current situation ofsupply and demand of China’s residential market in the context of the macro-control,and finds out the present problems of the residential market by the comparison of thetotal and structure of supply and demand, including the total supply and demand isimbalance and the structure of supply and demand is unreasonable. Analyzing theapproaches that monetary policy affect the residential market supply and demandtheoretically, and the residential market is divided into high-grade residential (villas andhigh-grade apartments), ordinary residential and affordable housing by type, usingdynamic panel data model with generalized method of moments (GMM) estimation toconduct an empirical analysis of the impact of monetary policy on the structure ofresidential supply and demand. The results show that the elasticity of monetary policy affect the supply and demand of the segments of residential market are in descendingorder of high-grade residential, ordinary residential and affordable housing; Relative tointerest rate, money supply has a greater influence on the structure of residential supplyand demand. Effect of monetary policy in high-grade residential supply presencesobviously time lagging, but strong timeliness of that in high-grade residential demand;Effect of monetary policy in ordinary residential supply and demand have strongtimeliness; Effect of monetary policy in affordable housing supply is relatively weak,but strong timeliness of that in affordable housing demand. Putting forward somespecific proposals based on the theoretical analysis and empirical research, such asimplementing differentiated monetary policy on residential development, etc.The research results reveal the differences in the impact of monetary policy on thestructure of residential supply and demand, provide a scientific basis formacroeconomic department to formulate and implement monetary policy morescientifically, and coordinate the development of different types of residential marketmore effectively.