Advanced

The Change of Relationship between Real Estate and Stock Markets in China

Cheng, Ze LU and Zheng, Sanqiang LU (2015) NEKN03 20151
Department of Economics
Abstract
The real estate market and stock market, as two major investment channels in China, had experienced dramatically skyrocketing and fluctuations. Especially, after 2008 financial crisis, the price index of these two asset markets tended to be alternately soaring and declining. It seems there is a new principle or new relationship generating between the real estate and stock markets. This study employs VAR model and on the base of data from 2003 January to 2013 December to explore and discuss whether the relationships between the real estate market and stock market changed after financial crisis in 2008 emerged in China. The results show that there is no significant relationship existing between the real estate market and stock market during... (More)
The real estate market and stock market, as two major investment channels in China, had experienced dramatically skyrocketing and fluctuations. Especially, after 2008 financial crisis, the price index of these two asset markets tended to be alternately soaring and declining. It seems there is a new principle or new relationship generating between the real estate and stock markets. This study employs VAR model and on the base of data from 2003 January to 2013 December to explore and discuss whether the relationships between the real estate market and stock market changed after financial crisis in 2008 emerged in China. The results show that there is no significant relationship existing between the real estate market and stock market during 2003 to 2008; while there is a significantly negative long-term relationship after the financial crisis in 2008. (Less)
Please use this url to cite or link to this publication:
author
Cheng, Ze LU and Zheng, Sanqiang LU
supervisor
organization
course
NEKN03 20151
year
type
H1 - Master's Degree (One Year)
subject
keywords
Real Estate Market, VAR Model, Financial Crisis, Inflation, Stock Market
language
English
id
7866584
date added to LUP
2015-09-15 12:32:19
date last changed
2015-09-15 12:32:19
@misc{7866584,
  abstract     = {The real estate market and stock market, as two major investment channels in China, had experienced dramatically skyrocketing and fluctuations. Especially, after 2008 financial crisis, the price index of these two asset markets tended to be alternately soaring and declining. It seems there is a new principle or new relationship generating between the real estate and stock markets. This study employs VAR model and on the base of data from 2003 January to 2013 December to explore and discuss whether the relationships between the real estate market and stock market changed after financial crisis in 2008 emerged in China. The results show that there is no significant relationship existing between the real estate market and stock market during 2003 to 2008; while there is a significantly negative long-term relationship after the financial crisis in 2008.},
  author       = {Cheng, Ze and Zheng, Sanqiang},
  keyword      = {Real Estate Market,VAR Model,Financial Crisis,Inflation,Stock Market},
  language     = {eng},
  note         = {Student Paper},
  title        = {The Change of Relationship between Real Estate and Stock Markets in China},
  year         = {2015},
}