Identifying the determinants of housing prices in China using spatial regression and the geographical detector technique

Applied Geography

Volumn 79, Issue , 2017, Pages 26-36

  Wang, Yang ^a,b   Wang, Shaojian ^c   Li, Guangdong ^d   Zhang, Hongou ^a,b   Jin, Lixia ^a,b   Su, Yongxian ^a,b   Wu, Kangmin ^a,b  

^a GUANGZHOU INSTITUTE OF GEOGRAPHY   (China)

^b INSTITUTE OF MICROBIOLOGY   (China)

^c SUN YAT SEN UNIVERSITY   (China)

^d INSTITUTE OF GEOGRAPHIC SCIENCES AND NATURAL RESOURCES RESEARCH   (China)

Author keywords

China; Geographical detector; Housing prices; Spatial regression

Indexed keywords

HOUSING MARKET; HOUSING POLICY; POLICY MAKING; PRICE DYNAMICS; REGRESSION ANALYSIS; SPATIAL ANALYSIS;

CHINA;

EID: 85006753198     PISSN: 01436228     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.apgeog.2016.12.003     Document Type: Article

References (65)

1. Antolin, P., Bover, O., Regional migration in Spain: The effect of personal characteristics and of unemployment, wage and house price differentials using pooled cross-sections. Oxford bulletin of Economics and Statistics 59 (1997), 215–235.
2. Bischoff, O., Explaining regional variation in equilibrium real estate prices and income. Journal of Housing Economics 21 (2012), 1–15.
3. Bitter, C., Mulligan, G.F., Dall'erba, S., Incorporating spatial variation in housing attribute prices: A comparison of geographically weighted regression and the spatial expansion method. Journal of Geographical Systems 9 (2007), 7–27.
4. Buckley, R., Ermisch, J., Theory and empiricism in the econometric modelling of house prices. Urban Studies 20 (1983), 83–90.
5. Canarella, G., Miller, S., Pollard, S., Unit roots and structural change an application to US house price indices. Urban Studies 49 (2012), 757–776.
6. Caplin, A., Leahy, J., Trading frictions and house price dynamics. Journal of Money, Credit and Banking 43 (2011), 283–303.
7. Capozza, D.R., Hendershott, P.H., Mack, C., Mayer, C.J., Determinants of real house price dynamics. 2002, National Bureau of Economic Research http://www.nber.org/papers/w9262.
8. Capozza, D.R., Schwann, G.M., The asset approach to pricing urban land: Empirical evidence. Real Estate Economics 17 (1989), 161–174.
9. Chan, K.W., The household registration system and migrant labor in China: Notes on a debate. Population and Development Review 36 (2010), 357–364.
10. Chen, J., Guo, F., Wu, Y., One decade of urban housing reform in China: Urban housing price dynamics and the role of migration and urbanization, 1995–2005. Habitat International 35 (2011), 1–8.
11. Chen, X., Yang, H., An empirical analysis on relationship between housing price and land price in China. Journal of WUT (Information & Management Engineering) 35 (2013), 440–443 (in Chinese).
12. Chiang, M.C., Tsai, I.C., Ripple effect and contagious effect in the US regional housing markets. The Annals of Regional Science 56 (2016), 55–82.
13. Cohen, J.P., Ioannides, Y.M., Thanapisitikul, W.W., Spatial effects and house price dynamics in the USA. Journal of Housing Economics 31 (2016), 1–13.
14. Davidoff, T., Supply elasticity and the housing cycle of the 2000s. Real Estate Economics 41 (2013), 793–813.
15. DiPasquale, D., Wheaton, W.C., Urban economics and real estate markets, Vol. 23, 1996, Prentice Hall, Englewood Cliffs, NJ.
16. Du, H., Ma, Y., An, Y., The impact of land policy on the relation between housing and land prices: Evidence from China. The Quarterly Review of Economics and Finance 51 (2011), 19–27.
17. Fortura, P., Kushner, J., Canadian inter-city house price differentials. Real Estate Economics 14 (1986), 525–536.
18. Gabriel, S.A., Nothaft, F.E., Rental housing markets, the incidence and duration of vacancy, and the natural vacancy rate. Journal of Urban Economics 49 (2001), 121–149.
19. Gabriel, S.A., Shack-Marquez, J., Wascher, W.L., Regional house-price dispersion and interregional migration. Journal of Housing Economics 2 (1992), 235–256.
20. Gallin, J., The long-run relationship between house prices and income: Evidence from local housing markets. Real Estate Economics 34 (2006), 417–438.
21. Glaeser, E.L., Gottlieb, J.D., The wealth of cities: Agglomeration economies and spatial equilibrium in the United States. 2009, National Bureau of Economic Research.
22. Glaeser, E.L., Gyourko, J., Saks, R.E., Urban growth and housing supply. Journal of Economic Geography 6 (2006), 71–89.
23. Goodman, A.C., Following a panel of stayers: Length of stay, tenure choice, and housing demand. Journal of Housing Economics 12 (2003), 106–133.
24. Hoehn, J.P., Berger, M.C., Blomquist, G.C., A hedonic model of interregional wages, rents, and amenity values. Journal of Regional Science 27 (1987), 605–620.
25. Holly, S., Pesaran, M.H., Yamagata, T., A spatio-temporal model of house prices in the USA. Journal of Econometrics 158 (2010), 160–173.
26. Holmes, M.J., Otero, J., Panagiotidis, T., Investigating regional house price convergence in the United States: Evidence from a pair-wise approach. Economic Modelling 28 (2011), 2369–2376.
27. Huang, M., Lu, B., Measuring the housing market demand elasticity in China—based on the rational price expectation and the provincial panel data. Open Journal of Social Sciences, 4, 2016, 21.
28. Hui, E.C., An empirical study of the effects of land supply and lease conditions on the housing market: A case of Hong Kong. Property Management 22 (2004), 127–154.
29. Hui, E.C.M., Wang, X.R., Jia, S.H., Fertility rate, inter-generation wealth transfer and housing price in China: A theoretical and empirical study based on the overlapping generation model. Habitat International 53 (2016), 369–378.
30. Hu, Y., Wang, J., Li, X., Ren, D., Zhu, J., Geographical detector-based risk assessment of the under-five mortality in the 2008 Wenchuan Earthquake, China. PloS one, 6, 2011, e21427.
31. Hwang, M., Quigley, J.M., Economic fundamentals in local housing markets: Evidence from US metropolitan regions. Journal of Regional Science 46 (2006), 425–453.
32. Jiang, L., Living conditions of the floating population in urban China. Housing studies 21 (2006), 719–744.
33. Kuethe, T.H., Pede, V.O., Regional housing price cycles: A spatio-temporal analysis using US state-level data. Regional studies 45 (2011), 563–574.
34. Li, Z., Housing conditions and housing determinants of new migrants in chinese cities. Chinese Sociology & Anthropology 43:2 (2010), 70–89.
35. Li, Q., Chand, S., House prices and market fundamentals in urban China. Habitat International 40 (2013), 148–153.
36. Li, C., Gibson, J., Spatial price differences and inequality in China: Housing market evidence. Working Paper in Economics, 6, 2013, 13.
37. Lin, W.Y., Tsai, I., Asymmetric fluctuating behavior of China's housing prices. China & World Economy 24 (2016), 107–126.
38. Maennig, W., Dust, L., Shrinking and growing metropolitan areas asymmetric real estate price reactions?: the case of German single-family houses. Regional science and urban economics 38 (2008), 63–69.
39. Mahalik, M.K., Mallick, H., Are house prices guided by fundamentals or speculative factors? An empirical inquiry for India. International Journal of Economic Policy in Emerging Economies 9 (2016), 47–64.
40. Ma, L., Liu, C., Is there long-run equilibrium in the house prices of australian capital cities?. International Real Estate Review 18 (2015), 503–521.
41. Malpezzi, S., Housing prices, externalities, and regulation in US metropolitan areas. Journal of Housing Research, 7, 1996, 209.
42. Mankiw, N.G., Weil, D.N., The baby boom, the baby bust, and the housing market. Regional science and urban economics 19 (1989), 235–258.
43. Manning, C.A., Intercity differences in home price appreciation. Journal of real estate Research 1 (1986), 45–66.
44. Nellis, J.G., Longbottom, J.A., An empirical analysis of the determination of house prices in the United Kingdom. Urban Studies 18 (1981), 9–21.
45. Osmadi, A., Kamal, E.M., Hassan, H., Fattah, H.A., Exploring the elements of housing price in Malaysia. Asian Social Science, 11, 2015, 26.
46. Pillaiyan, S., Macroeconomic drivers of house prices in Malaysia. Canadian Social Science 11 (2015), 119–130.
47. Potepan, M.J., Explaining intermetropolitan variation in housing prices, rents and land prices. Real Estate Economics 24 (1996), 219–245.
48. Quigley, J.M., Swoboda, A.M., Land use regulation with durable capital. Journal of Economic Geography 10 (2010), 9–26.
49. Roback, J., Wages, rents, and the quality of life. Journal of Political Economy 90 (1982), 1257–1278.
50. Shen, Y., Liu, H., Housing prices and economic fundamentals: A cross city analysis of China for 1995–2002. Economic Research Journal 6 (2004), 78–86.
51. Shih, Y.N., Li, H.C., Qin, B., Housing price bubbles and inter-provincial spillover: Evidence from China. Habitat International 43 (2014), 142–151.
52. Taltavull, P., Kuang, W., Li, X., Does China face a housing affordability issue? Evidence from 35 cities in China. International Journal of Housing Markets and Analysis 5 (2012), 272–288.
53. Tobler, W., A computer movie simulating urban growth in the Detroit region. Economic Geography 46 (1970), 234–240.
54. Van Nieuwerburgh, S., Weill, P.O., Why has house price dispersion gone up?. Review of Economic Studies 77 (2010), 1567–1606.
55. Wang, J.F., Li, X.H., Christakos, G., Liao, Y.L., Zhang, T., Gu, X., et al. Geographical detectors-based health risk assessment and its application in the neural tube defects study of the heshun region, China. International Journal of Geographical Information Science 24 (2010), 107–127.
56. Wang, Y., Wang, D., Wei, Y., Spatial differentiation patterns of housing price and housing price-to-income ratio in China's cities. Paper presented at the geoinformatics (GEOINFORMATICS), 21st international conference on geoinformatics, 2013 Published in: Geoinformatics. ISSN :2161–024X.
57. Wang, Z., Zhang, Q., Fundamental factors in the housing markets of China. Journal of Housing Economics 25 (2014), 53–61.
58. Wen, H., Goodman, A.C., Relationship between urban land price and housing price: Evidence from 21 provincial capitals in China. Habitat International 40 (2013), 9–17.
59. Yu, H., The spillovers and heterogeneous responses of housing prices: A GVAR analysis of China's 35 major cities. Journal of the Asia Pacific Economy 20 (2015), 535–558.
60. Zabel, J., Dalton, M., The impact of minimum lot size regulations on house prices in Eastern Massachusetts. Regional Science & Urban Economics 41 (2011), 571–583.
61. Zang, B., Lv, P., Warren, C.M., Housing prices, rural–urban migrants' settlement decisions and their regional differences in China. Habitat International 50 (2015), 149–159.
62. Zeng, G., Zhang, H., The test of relationship between land price and housing price in Chinese cities. Contemporary Economic Research 6 (2013), 16–25.
63. Zhang, C., Income inequality and access to housing: Evidence from China. China Economic Review 36 (2015), 261–271.
64. Zhang, L., Hui, E.C.M., Wen, H., Housing price–volume dynamics under the regulation policy: Difference between Chinese coastal and inland cities. Habitat International 47 (2015), 29–40.
65. Zhu, H., The structure of housing finance markets and house prices in Asia. BIS Quarterly Review, 2006 December. Available at: SSRN http://ssrn.com/abstract=1632353.