A Study On The Effectiveness Of Monetary Policy To Regulate And Control The Real Estate Price

In recent years, the high price of real estate price has become a popular topic in China, rising prices will affect the sustained and healthy development of China’s economy, and also hitherto unknown to penetrate into daily life of common people. Monetary policy as an important tool of the national macroeconomic regulation and control policy, should give full attention to the fluctuation of real estate price. Therefore, improving the effectiveness of monetary policy to regulate and control the real estate price has practical significance.Firstly, this paper introduces the research background of the topic, the idea and framework of this paper are formed on the basis of research of domestic and foreign monetary policy to regulate and control the real estate price. Secondly, combined with the actual situation of China’s monetary policy objectives,we find the theoretical basis so as to justify the topic that monetary policy should and may effectively regulate and control the real estate price. Next, the process of China’s monetary policy to regulate and control prices is divided into four stages, in each stage, the effectiveness of monetary policy to regulate and control the real estate price has been preliminary evaluated. Finally, through the establishment of state-space model we reached the following conclusions:We should give full attention to real estate prices, because the real estate price fluctuations have been influenced price stability and economic growth; effects of different types of tools of monetary policy on real estate prices have different elasticity; in addition, the role of monetary policy on the real estate market supply and demand is not the same, the price of real estate has duality for tools of monetary policy changes. In order to improve the effectiveness of monetary policy on real estate, we should control the scale of real estate credit, coordinate different types of tools of monetary policy, establish early warning mechanism to cope with real estate price fluctuations, increase the supply steadily and effectively manage the demand of real estate and so on.