The Comparison About Household Asset Preference Between China And America

With the developing of China’s market and increasing in household income, household asset selection and asset price system which determines has become an important part of the national economy. Household asset selection behavior not only affect asset price system but also the national economy, and even affect the optimal allocation of economic resources. In recent years, the financial markets continue to improve so that household asset structure has become more diversified, household asset selection behavior is more complex. Economic theory tells us that the main factors affecting the choice of household assets, in addition to asset prices, income, expected return and risk, household assets preference also determines the status of the asset allocation of a family to a considerable extent which also reflects a household propensity to consume. Household assets preference issue has important theoretical and practical significance, research conclusions help to understand the motives of household asset selection, understanding the characteristics of our residents choose family assets. It has important practical significance for understand the consumer propensity and for strengthen households rational choice behavior. It’s also important for balanced economic development.In 2007,America subprime mortgage crisis has pushed the U.S. real estate bubble burst, America housing price fell sharply in 2008 by the subprime mortgage crisis triggered by the global financial crisis led to an overall decline in U.S. asset market prices.In 2008, global financial crisis make a significant impact on China’s asset markets when it hit the U.S. economy.It is noteworthy that after the financial crisis, the U.S. economic recovery is weak, China’s economy soon shake off the impact of the economic crisis, and return to high growth path of reform and opening formed by the overall economic situation which stark contrast with the U.S. economy. However, when we carefully observe the asset markets in the two countries. It’s not difficult to find the U.S. capital market price has basically returned to pre-crisis levels, while the Chinese asset markets remain extremely prosperity of the real estate market, the stock market remains in the doldrums" rainbow night "situation. Thinking the different economic and asset market conditions in two countries, how to give a reasonable explanation has become the primary task for us.This paper want to answer these questions by comparing the structure of household assets between China and America and exploring the preference characteristics embodied in the selection of household assets. This would make a microeconomic foundation laid to better analyze the changing trend of household assets and further study asset price system in our country. This paper focusing on the following three issues through the use of normative analysis, statistical analysis and measurement method of combining research:First, summarized the status quo and the characteristics of the household assets structure in the two country; Second, make a significant non-parametric test in household assets constituting difference in the two countries excluding income factors, on this basis, to measure the assets preference of the two countries’for households, and to explain why there are differences between the two countries household asset selection preferences from the country of origin, economic systems and development differences financial sense history, cultural traditions. The third is based on historical data of changes in the structure of U.S. household assets,to predict the trend of changes in the structure of household assets in China.By comparison, we draw the following conclusions:Property dominates the family assets, the preference of the estate in China is much larger than in United States,which determines the country’s relatively high price reasonableness; The trend of asset composition of household has diversified, but the structure is irrational now, there has a single polarization of dominant estate, a phenomenon that will inevitably lead to discrimination type of asset price system; political and economic history of the evolution of the different systems is the main cause of bilateral preference differences in household assets; economic growth and development in the market is not sufficient to make our household wealth concept still remained feudal society to a considerable extent; with the continuous improvement of the market system, market economy triggered by the "capital of the revolution" will lead to changes in residents investment ideas,which determine the asset composition of households will evolve direction of equalization in the future.