However, the financing issue of other industries is rarely talked about while financing for the real estate industry has become a hot topic for wide discussions. Why is that? I think basically there are three reasons behind it. First, the real estate industry concerns people’s living conditions. To live and work in peace and contentment are the two important preconditions for a harmonious society.
However, a recurring theme of my remarks will be that extracting accurate information from asset prices and yields is more difficult and requires greater sophistication than is commonly supposed. Ongoing research in financial economics thus has great potential to provide practical assistance to monetary policy makers.