Research on the Impact of Real Estate Growth on the Real Economy——Based on the Mediation Effect Model

Based on the time series data from 2001 to 2016, this paper studies the impact of rising housing prices on real economy investment and several internal economic mechanisms by establishing an intermediary effect model. The results show that (1) Real estate growth is not necessarily beneficial to the growth of the real economy, and excessively high housing prices will hinder the development of the real economy. (2) Rising housing prices will affect entity investment through a partial mediating effect of company profits. (3) Stabilizing housing prices and improving the profitability of real estate companies are of great significance for ensuring the healthy development of my country's real estate industry and guiding the economy from virtual to reality.