Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China
The interplay between land management and real estate market dynamics is critical for sustainable development. This study employs behavioral finance theory to explore how irrational behaviors among key market participants, including developers, consumers, and brokers, influence housing prices in Chi...
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| Format: | Article |
| Language: | English |
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MDPI AG
2024-09-01
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| Series: | Land |
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| Online Access: | https://www.mdpi.com/2073-445X/13/9/1478 |
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| author | Sung-woo Cho Jin-young Jung |
| author_facet | Sung-woo Cho Jin-young Jung |
| author_sort | Sung-woo Cho |
| collection | DOAJ |
| description | The interplay between land management and real estate market dynamics is critical for sustainable development. This study employs behavioral finance theory to explore how irrational behaviors among key market participants, including developers, consumers, and brokers, influence housing prices in China. By examining decision aggregation processes and sociocultural influences, we identify significant behavioral factors such as overconfidence, herding behavior, and availability bias that contribute to real estate price fluctuations. Our empirical analysis, based on data from 2001 to 2018, reveals how these behaviors impact market outcomes and provides insights for improving land administration systems. The findings offer valuable perspectives for policy and strategy development aimed at stabilizing housing markets, promoting sustainable real estate practices, and supporting the achievement of sustainable development goals (SDGs). This research underscores the importance of integrating behavioral finance into land management to enhance the efficiency and security of land tenure systems. |
| format | Article |
| id | doaj-art-6d9bad7d9b514c8482f87c5be2d95b74 |
| institution | OA Journals |
| issn | 2073-445X |
| language | English |
| publishDate | 2024-09-01 |
| publisher | MDPI AG |
| record_format | Article |
| series | Land |
| spelling | doaj-art-6d9bad7d9b514c8482f87c5be2d95b742025-08-20T01:55:37ZengMDPI AGLand2073-445X2024-09-01139147810.3390/land13091478Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in ChinaSung-woo Cho0Jin-young Jung1College of Business, Gachon University, Seongnam-si 13120, Republic of KoreaCollege of Business Administration, Inha University, Incheon 22212, Republic of KoreaThe interplay between land management and real estate market dynamics is critical for sustainable development. This study employs behavioral finance theory to explore how irrational behaviors among key market participants, including developers, consumers, and brokers, influence housing prices in China. By examining decision aggregation processes and sociocultural influences, we identify significant behavioral factors such as overconfidence, herding behavior, and availability bias that contribute to real estate price fluctuations. Our empirical analysis, based on data from 2001 to 2018, reveals how these behaviors impact market outcomes and provides insights for improving land administration systems. The findings offer valuable perspectives for policy and strategy development aimed at stabilizing housing markets, promoting sustainable real estate practices, and supporting the achievement of sustainable development goals (SDGs). This research underscores the importance of integrating behavioral finance into land management to enhance the efficiency and security of land tenure systems.https://www.mdpi.com/2073-445X/13/9/1478real estatesustainable developmentbehavioral financedecision aggregationherding effectavailability bias |
| spellingShingle | Sung-woo Cho Jin-young Jung Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China Land real estate sustainable development behavioral finance decision aggregation herding effect availability bias |
| title | Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China |
| title_full | Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China |
| title_fullStr | Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China |
| title_full_unstemmed | Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China |
| title_short | Behavioral Finance Insights into Land Management: Decision Aggregation and Real Estate Market Dynamics in China |
| title_sort | behavioral finance insights into land management decision aggregation and real estate market dynamics in china |
| topic | real estate sustainable development behavioral finance decision aggregation herding effect availability bias |
| url | https://www.mdpi.com/2073-445X/13/9/1478 |
| work_keys_str_mv | AT sungwoocho behavioralfinanceinsightsintolandmanagementdecisionaggregationandrealestatemarketdynamicsinchina AT jinyoungjung behavioralfinanceinsightsintolandmanagementdecisionaggregationandrealestatemarketdynamicsinchina |