TITLE:
Dynamic Game Research on Multiple Subjects in the Real Estate Market of China
AUTHORS:
Mingli Gong
KEYWORDS:
Dynamic Game Research on Multiple Subjects in the Real Estate Market of China
JOURNAL NAME:
Open Journal of Applied Sciences,
Vol.7 No.4,
April
30,
2017
ABSTRACT: In order to analyze the deep-routed reason for the failure of the real estate market regulation policy, this paper established an incomplete information tri-game model in which central government, local government and the real estate developer were chosen as three main research objects. Based on the analysis of their interest appeals under the assumption of rational economic man, we found that it was the difference of interest appeals of central and local governments as well as the real estate developers that caused the game among the three participants. This, however, led to the failure of the macro-control at last. Strengthening the supervision of central government and reducing its cost at the same time, what’s more, improving the efficiency of the supervision and increasing the punishment of the rent-seeking behavior between local government and the real estate developers will contribute to improve the implementation status of the regulation and control policy. We suggest the authorities improve the government political achievement appraisal system and reform the current system of benefits distribution; moreover, reform the existing regulatory system and strength the regulatory role of media and the third-party so as to promote the healthy development of the real estate market.