An empirical research on the influence of house price on the consumer market based on monthly statistics in Shanghai

Consumption plays a crucial role in peoples daily lives. In recent years, Chinas consumer market has faced urgent needs for consumption transformation and heavy pressure from economic downturn. As an important component of everyday consumption and wealth savings, there is a close relationship between changes in house prices and the consumer market. There has been a heated debate in the academic community regarding the positive or negative relationship between the two. The study keeps focus on the changes of consumer market, attempting to reveal the effects of house price has. This article extracts monthly consumption and housing price data in Shanghai from 2014 to 2024, strictly arranges them in chronological order, and uses the ECM model to handle the instability of time series data. The conclusion of this study is that the rise in housing prices can stimulate consumption. Also house prices have a controlling effect on the fluctuations of the consumer market.