Study On The Regional Difference Of Wealth Effect In China

Since the reform of housing market in China in 1998,the housing market system has replaced the welfare housing distribution system.Nineteen years,the real estate prices in general to keep rising trend and the real estate market has been rapid development.Under the background of the development of the new economy,China’s consumption potential is gradually released.In the process of economic development,consumption still plays a very important role.In 2015-2016,the second tier housing prices soared,three or four lines smooth,regional differentiation obvious.In 2016,the real estate market showing "one,two high housing prices,three or four lines,high inventory" regional differentiation phenomenon.In 2015-2016,the country’s first,second tier housing prices soared,attracted a new round of regulation,short-term restrictions on the purchase of credit,long-term seeking to establish long-term mechanism.In November 2015,the government on the real estate market excessive inventory and put forward to the inventory policy,its main purpose is to prevent real estate prices rising too fast and stable real estate market,and maintain a healthy,and sustainable development of the real estate industry,and in the hope of promoting the growth of consumption and the real estate market.Facing such a severe and complicated real estate market,it is necessary to study the real estate wealth effect of the one or two and three tier cities in our country.This paper uses the data of the annual commercial housing price,the disposable income of residents and the average annual consumption expenditure of residents from 2005 to 2015.Based on the theory of consumption function,the model of consumption function is established.Firstly,through cointegration test and error correction model,the empirical analysis of China’s one or two and three tier cities real estate wealth effect.The results show that: in the short term,China’s first and second tier cities real estate price impact on the residents of the consumption coefficient of-0.0471 and-0.0075,the real estate wealth effect is negative and the consumption of residents are inhibited,three lines of urban residents on the impact of consumption coefficient of 0.1009,the real estate wealth effect is positive and promotion of the consumption.In the long term,the first line,second tier,three tier cities on the impact of consumer prices are 0.2464,0.037 and 0.0080,the wealth effect is positive and could promote the role of consumer spending.Secondly,from the development of regional real estate is not balanced,unreasonable structure of the real estate market,different city residents income gap and urbanization is not consistent to explain why China’s one or two and three line city real estate wealth effect differences in four aspects.Again,this article from the real estate wealth effect,redistribution of social wealth effect on economic development and the urbanization effect three aspects,analysis of China’s real estate wealth effect caused by the social and economic impact.In view of the present situation,this paper puts forward some countermeasures and suggestions from two aspects: to promote the return to live of real estate and the development of real estate finance: Optimize the supply structure of real estate,especially optimize the supply structure of the first tier cities and some hot second tier cities,strengthen the construction of low rent housing and affordable housing;Standardize the integration of the housing rental market and guide residents to rent housing consumption concept.Increase disposable income of residents,especially to increase disposable income of urban residents in the first and part of the hot spots,so as to prevent substantial fluctuations in real estate prices;Improve the real estate loan mechanism to prevent bank credit risk.Development of the housing rental market and regulate the secondary market of real estate.We will increase the supply of housing for second tier cities and some hot spots,and rationally control the supply of urban housing land on the three lines and stabilize the prices of real estate.The conclusion of this paper is to provide new ideas for the real estate macro-control policies in China.