Bubbles and Crashes in China's Stock and Housing Markets: How to Predict Them and What Policies are Effective in Managing Them?
The project is designed to develop new methodology about predicting bubbles and crashes worldwide; is to apply it particularly to China's stock and housing markets, to identify the periods during which the markets can be clarified as bubble or crisis regimes; and to examine and compare worldwide government's policies toward managing bubbles and crashes and identify what might be feasible and effective in China.
At this moment, this line of research appears of great importance to China's economy and growth, since the housing market is in the bubble regimes for years by many standards and studies. On the other hand, the Shanghai stock market index crashed from over 6000 to now under 2000.