Promoter or inhibitor? The role played by housing prices on entrepreneurial vitality in China
Year: 2025
Type: article
Abstract: This study delves into the time-varying causal relationship between housing prices (HP) and entrepreneurial vitality (EV) in China, employing a rolling-window sub-sample testing approach. The findings reveal that HP exerts both positive and negative influences on EV across different sub-samples. Specifically, when wealth effects dominate, HP positively impacts EV, acting as a promoter. Conversely, when substitution effects prevail, HP negatively affects EV, becoming an inhibitor. Additionally, EV consistently demonstrates a significant positive impact on HP across various sub-samples, indicating that EV serves as a predictor of HP trends. Given these complex and dynamic interactions, it is crucial for policymakers to carefully consider China's entrepreneurial environment, financial constraints, and other relevant factors. Tailored policies for HP and EV should be designed based on distinct developmental stages to foster a balanced and sustainable economic environment.
Source: PLoS ONE
Authors: Yumei Guan, Chiwei Su, Yunfeng Wang
Institutions: Sanya University, Qingdao University, City University of Macau
Language: English
Topic: Housing Market and Economics
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: gold
Estimated APC paid: $2,382
OpenAlex ID: W4413980993