The Impact Of Population Age Structure On Housing Prices

The real estate industry is a pillar industry in China’s national economy and plays a pivotal role in the development of macroeconomics.Since China’s cancellation of the welfare housing system in 1998,China’s real estate market has developed rapidly.In recent years,housing prices across the country have experienced rapid growth,affecting the stable development of society.At the same time,China’s population structure is undergoing tremendous changes.Since the 1990 s,China’s population structure has entered a stage of low fertility development,and the population is aging.The real estate industry is closely related to people’s lives.The demographic factor plays an important role in its development.Therefore,the demographic transition will inevitably affect the development of the real estate industry.With the growing problem of the aging population of China’s population,the development of the real estate industry is also facing serious problems.Based on the existing economic theory,this paper analyzes the impact of population factors on housing prices and the degree of impact from the perspective of population age structure.On this basis,in view of the deepening degree of population aging in China,this paper further studies the impact of population aging on housing prices.First of all,using panel data from 31 OECD countries from 1960 to 2014,this paper uses the generalized least square method(FGLS)and panel correction standard error model(PCSE)to study the impact of age structure on housing prices.Secondly,this paper selects panel data from 32 OECD countries from 1960 to 2017,and uses the generalized least square method(FGLS),two-stage instrumental variable method(2SLS)and difference method(GMM)to study the impact of population aging on housing prices.The results show that population aging,population growth rate,population density,life expectancy per capita,the proportion of labor force and different age groups have different effects on housing prices.The effects of population aging on housing prices are different in the short term and long term,specifically in the short term,population aging can promote housing prices;in the long term,population aging can promote housing prices The negative effect of aging on housing prices will be highlighted.In the long run,the increase of children and the elderly will restrain the rise of house price,and the increase of youth and middle-aged groups will promote the rise of house price.In addition,there are also differences in the impact of population factors on housing prices in different OECD countries.This difference stems from the differences in population effects between different countries.Through the experience of the OECD countries,we conclude that as China’s population structure continues to enter the stage of aging children,in order to actively respond to the adverse impact of demographic transition on housing prices,and thus affect the development of the national economy,China should take the necessary measures to Optimize the age structure of the population,effectively improve the fertility rate and improve the population security related policies.