IDEAS home Printed from https://ideas.repec.org/p/hal/journl/hal-03541283.html

The Role of the Real Estate Sector in the Structural Dynamics of the Chinese Economy: An Input–Output Analysis

Author

Listed:
  • Yongming Huang

    (Wuhan University [China])

  • Jamal Khan

    (Wuhan University [China])

  • Eric Girardin

    (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique)

  • Umair Shad

    (HU - Hazara University Mansehra)

Abstract

Market-oriented housing reforms and the rapid urbanization process have led to spectacular growth in the Chinese real estate sector (RES). However, the changes in the role played by this sector in the structural dynamics of the Chinese economy have not been examined sufficiently. Accordingly, we analyze the intersectoral structural changes to the Chinese RES, its linkages with the rest of the economy, and its growth sources, using four Chinese input–output tables from 2002 to 2017. We depart from existing work on the RES by using the causative matrix approach and structural decomposition analysis, and obtain three main results. First, the RES, which received little non-RES feedback during the 2002–2007 period, has subsequently received much more substantial feedback. Second, the impact of the RES on China's economic growth stems mainly from its forward linkages. Third, the growth in the RES has been driven mainly by domestic demand expansion. Our results highlight that the Chinese RES, which plays a key role in value chains, is highly dependent on its own final demand and a fall in its demand would impede economic development. An important implication of these results is that developing the national economy by stimulating the RES would not be as effective as developing the RES through stimulating the national economy.

Suggested Citation

  • Yongming Huang & Jamal Khan & Eric Girardin & Umair Shad, 2021. "The Role of the Real Estate Sector in the Structural Dynamics of the Chinese Economy: An Input–Output Analysis," Post-Print hal-03541283, HAL.
    • Handle: RePEc:hal:journl:hal-03541283
    DOI: 10.1111/cwe.12363
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a
    for a similarly titled item that would be available.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Dachen Sheng & Huijun Cheng & Minmin Yin, 2024. "Housing Developers’ Heterogeneous Decision-Making under Negative Shock after the High-Growth Era: Evidence from the Chinese Real Estate Economy," Mathematics, MDPI, vol. 12(12), pages 1-22, June.
    2. Summaira Malik & Ali Abbas & Malik Shahzad Shabbir & Carlos Samuel Ramos-Meza, 2024. "Business Cycle Fluctuations, Foreign Direct Investment, and Real Effective Exchange Rate Nexus Among Asian Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(2), pages 5466-5479, June.
    3. Rogoff, Kenneth S. & Yang, Yuanchen, 2024. "A tale of tier 3 cities," Journal of International Economics, Elsevier, vol. 152(C).
    4. Ping Feng & Mahmut Yasar & Jeffrey P. Cohen, 2025. "Do Higher House Prices Crowd-Out or Crowd-In Manufacturing? A Spatial Econometrics Approach," The Journal of Real Estate Finance and Economics, Springer, vol. 70(3), pages 457-482, April.
    5. Yongming Huang & Jamal Khan, 2022. "Has the information and communication technology sector become the engine of China’s economic growth?," Review of Development Economics, Wiley Blackwell, vol. 26(1), pages 510-533, February.
    6. Khan, Jamal & Li, Yuan & Mahsud, Qaiser Jamal, 2024. "Linkages and Structural Changes in the Chinese Financial Sector, 1996–2018: A Network and Input–Output Approach," Structural Change and Economic Dynamics, Elsevier, vol. 70(C), pages 33-44.
    7. Nong, Huifu, 2024. "Analyzing the Role of the Real Estate Sector in the Sectoral Network of the Chinese Economy," Structural Change and Economic Dynamics, Elsevier, vol. 70(C), pages 567-580.
    8. Xiaoyang Chen & Liguo Zhou & Lin Wang & Yuelong Zheng, 2023. "Risk spillover in China’s real estate industry chain: a DCC-EGARCH-ΔCoVaR model," Humanities and Social Sciences Communications, Palgrave Macmillan, vol. 10(1), pages 1-16, December.
    9. Yongming Huang & Mohammad Haseeb & Jamal Khan & Md. Emran Hossain, 2023. "Structural changes and economic landscape of the Indian economy: 2000‐2019," Review of Development Economics, Wiley Blackwell, vol. 27(1), pages 395-422, February.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:journl:hal-03541283. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CCSD (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.