Research On Supply And Demand Of Real Estate Market In Kunming Based On Non-equilibrium Theory

Despite having a relatively late start,Kunming's real estate market has developed rapidly since housing system reform in China in 1998.We have witnessed a sharp rising in housing prices and market's instability of Kunming in the past two decades.So it is necessary and significant to study the supply and demand situation of the real estate market in Kunming with appropriate theories and methods at present.Disequilibrium theory,which has been widely used in the research field of real estate market,holds that disequilibrium should be a normal state of market.What's more,it also argues that the optimal allocation of resources can't be realized until the disequilibrium degree of economy is minimized.If adopt a new perspective of quantity adjustment that is emphasized by disequilibrium theory,we can understand the current situation of the supply and demand of the real estate market in Kunming further and better,and we can also untie some puzzles of the real estate market to a certain extent.Firstly,this paper reviews the research trends of the disequilibrium theory as well as real estate market,and introduces some basic knowledge relevant to the non-equilibrium theory in brief.Secondly,it describes and analyzes the present situation of the supply and demand of the real estate market in Kunming from two aspects of total amount and structure.Besides,it makes a horizontal comparison with other cities.Thirdly,this paper builds and tests the disequilibrium measurement model of Kunming real estate market.Significantly,this paper makes some explanations and forecasts concerning the degree of imbalance between supply and demand of Kunming real estate market,and draws a comparison with other cities.Finally,the paper concludes some research conclusions,puts forward some suggestions and points out the insufficiency of this article.The research shows that the real estate market in Kunming has presented some features such as high growth and unstable development in the past ten years.During the period of 2003-2004,the Kunming real estate market undergone a serious or severe non-equilibrium state in short supply,in addition,2006,2009,2011,2012 and 2013 were in moderate disequilibrium state.Kunming residential commercial housing still occupies an absolute advantage although commercial and office buildings markets have flourished gradually.Notably,Kunming has achieved some success in liquidating the real estate inventory,and Kunming's real estate market has presented a strong trend towards balance.Facing the change of prices,housing demanders reacted more sensitive than suppliers in the past decade.This empirical research proves that the income level is indeed an important factor affecting the effective demand of the market once again.What's more,it also finds that prices fail to adjust housing market.It is obvious that disequilibrium theory has enough capability in studying the supply and demand situation of the real estate market in Kunming through this paper's research.Finally,this paper argues that Kunming can learn from Chongqing and Wuhan's models of real estate market in the future.