Keynote Speaker: Chen Quansheng
Discussants: Niu Fengrui, Yi Zhigang, Zheng Siqi, Su Qi

Real estate market associates with macroeconomic situation tightly. Mr. Chen analyzed real estate in China combined with current macroeconomic situation and pointed out some proposals.

Mr. Chen analyzed some indicators such as GDP, CPI, Industrial Added Value, Freight Turnover, Generated Energy, Import and Export and found out that real economic growth is not optimistic although the nominal indicators are terrific. He thought that the estate price was decline since 2010 when the estate price control policy was implemented. He pointed out three main problems in estate control policy: firstly, the basic reason of increased estate price is that demand exceeds supply and the land supply growth lags behind land demand; secondly, the structure of estate market has significant defects that there is no sound house leasing market and the notion of "market oriented commercial housing, government oriented guaranteed housing" was wrong; lastly, the assess system of officials should be changed.

Corresponding to these problems, Mr. Chen's proposals are: firstly, increase the land supply for commercial housing, especially the common commercial housing; secondly, the policy should encourage buying, control selling and award renting.

February 18th 2011