Analysis on the Mobility of Urban Housing Price on Consumption in China

Abstract

This paper study the mobility of urban housing price on consumption in china's city. Firstly, this paper introduces the path of urban housing price on consumption. Secondly, the panel regression study shows that the increase of housing price has a significant positive effect on consumption. Further analysis by polynomial Logit shows that the rise of housing price has no significant impact on the location mobility of urban consumption from 2004 to 2008. In the period of 2008-2012, it can significantly promote the upward flow of urban consumption. In the cross-period from 2012 to 2016, it can significantly prevent the downward flow of urban consumption, while the upward flow has no significant impact. And these three different results are mainly due to the house price role in our economy.