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Real Estate
* High prices lead to the consumption rate of urban residents, namely the consumption-GDP ratio of the urban residents, decreasing. From 2000 to 2008, the consumption rate of urban residents respectively was 31.1%, 30.7%, 30.2%, 29.7%, 28.9%, 27.6%, 26.8%, 26.5%, and 26.5%. The consumption rate of the whole population in 2008 was 35.3%, lower than70.1%, the one of United States, and 54.7% in India. ? Other spending is crowded out by the high price of the real estate for which housing slaves have to increase savings, which is called Crowding-out effect. ? From 2000 to 2008, the national consumption rate respectively was 62.3%, 61.4%, 59.6%, 56.8%, 54.3%, 51.8%, 49.9%, 49.0%, 48.6%.Compared with 2000, the consumption rate of 2008 had decreased 13.7 percentage points. On the contrary, the consumption rate in developed country is generally more than 70%. * * From 2000 to 2009,the deposits of urban residents has respectively increased by 7.9% 14.6%, 17.8%, 19.2%, 15.3%, 18.0%, 14.6%, 6.8%, 26.3%, 21.5% compared with the previous year. The crowding-out effect contains the 2 aspects namely the decreasing of the consumption and the increasing of the deposits. The current high price not only inhibits the growth of consumption of urban residents, but also is detrimental to the upgrading of the consumption structure * * From 2000 to 2008, the basic necessity of life was still large, while the share of education, cultural and recreational services declined. * * Nothing! And just waiting for a positive policy, consumers are always vulnerable. Just remember that the house price should be determined by the people without house not people with many, and the basic function of the house or the apartment is for dwelling that should be firstly met not for speculating, the price eventually is to return to the reasonable level corresponding with the rule of market. {{{I am still confuse with this explanation but you can say what you want to}}}} * * * * * * * * * Even though it is on
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