On the Law Theory of Real Estate Price and Their Function Principle
Abstract:Coefficient of Investment and Purchase(CIP)=(0,4], is also the Coefficient of Hp-to-Income ratio(CHI).Somewhere an average House price(Hp) equivalent to CIP is multiplied by an average Wages(Wa) of a month for all the social local inhabitant. Prove by it that Hp may be appraised in general as person average three times of monthly income,Then we may break up the composition structure with Hp becoming three Hp/3.With the development of scientific and technological and productivity,Land outputs rate ceaseless rises,GDP、Hp all Ought to increase by.Because scientific and technological and Productivity is being created by human being,and Human being owns a global village commonly,GDP increased should be enjoyed by the whole people,Therefore Hp/3 applies to allowance'three agricultures'and Land sells compensation to reduce workers and peasants gap between urban and rural,Another Hp/3 applies to rich social insurance to reduce gap between the rich and poor,Hp/3 remaining is construction cost of building and the real estate developer's profit.This proves that Hp has the function regulating and controlling as a result of breaking up the composition structure that becomes three Hp/3,The moderate high Hp within (0,4] is beneficial to reducing income gap, driving GDP to increase by stably in improving people's livelihood and overcoming an economic crisis thereby.
Key words:Hp composition structure with the function,The coefficient of Hp-to-Income ratioCIP=(0,4],Hp/3,Narrowing the three gaps,Remove an economic crisis,Keep GDP growth
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