The Relationship among Selling Price of Houses,Land Price and Rental Price in China
This paper maintains that there exists an effective housing behind the three markets:selling market of houses,land market and rental market. This implicit effective housing price is a common factor which could be for long driving prices in those three markets inherently. We implement Gonzalo-Granger permanent-instantaneous model and Hasbrouck information share model to make an empirical analysis of the Chinese housing price index in the long term,factorizing the long-memory components to get each price's contribution and the results of price discovery; we also adopt Granger causality test and the analysis of impulse response function from the perspective of short term. The results show that in a long term,the selling price of houses will be dominating in the Implicit Effective Housing Price,and in a short term,there will be a significant mutual causal relationship between land price and housing price; moreover,the rental market remains relatively isolated,with little influence on the forming system of house price.