Study on the Relationship between the Housing Price and Land Price Based on Chinese Provincial Panel Data

In this paper,the relationship between housing prices and land prices are re-tested on panel data of 28 provinces from March 2002 to June 2008. Empirical analysis results show that: bid Invitation,auction and listing system in land cause certain raise of overall level housing price up to 13.2 percent. At the same time,through panel error correct model testing grander causality on housing price and land price confirmed that across the country,whether it is a long-term or short-term,the demand pull of housing price on land price is obvious,while the effect of land price on housing price is mainly reflected in the long term. This article holds that,because of different ways of the impact of land price on housing price in different regions,different regions should be targeted to take different measures to restrain the housing price.