Analysis of Causes of China's Real Estate Price Fluctuation and Policy Suggestions based on Behavioral Economics Theory

摘要

In recent years, China's real estate industry has developed rapidly. With the development of the real estate industry, housing prices in various places have also risen rapidly. The level of house prices is not only related to people's livelihood, but also affects the stable development of society. Based on the perspective of behavioral economics, this article analyzes through the "herd effect", contextual attribution theory, "reference point effect" and cognitive dissonance theory that the reasons for the continuous rise in China's real estate prices are, the psychological activities and behaviors of consumers and investors are irrational, and irrational behaviors have caused the continuous rise in real estate prices. At the same time, this article provides relevant suggestions and opinions for individuals, businesses, and governments, with a view to curbing the livelihood problems caused by rising house prices, while ensuring the stable development of the economy and society.