Factors Affecting the Continuity of Public Policies: Chinas Real Estate Policy as an Example

Abstract

Chinas real estate industry occupies an essential position in the Chinese economy and is greatly influenced by domestic policies. This paper mainly explores the factors that affect the continuity of Chinas real estate policy. Chinas real estate development is mainly cyclical, and policy pockets are vital in each cycle. The dependence on local finance in the real estate industry makes local governments try to use their power to safeguard local financial security. Real estate has played an essential role in economic development for a long time. The government has a path of dependence on the real estate industry and relies too much on real estate to develop the economy. COVID-19 has dealt a heavy blow to the real estate industry and significantly changed the basic situation of the real estate industry. The new balance of positive and negative feedback has made it difficult for real estate policies to continue. The policys misjudgment of the real estate industry has made the situation of the real estate industry more severe. All the unbeneficial factors put Chinas real estate industry in a difficult situation.