Abstract
A discrete nonlinear model of real estate is derived, with which the evolutionary trend among government, consumers and real estate developers is described. The stability, bifurcation, and chaotic behavior of the system are also analyzed by using nonlinear dynamic method. Results show that chaos can be obtained via quasi-periodic transition and double-periodic bifurcation. The influence of dynamic evolutionary trend among stakeholder on system stability is also studied and some interesting conclusions are derived. This research can effectively explain the complex behavior of housing prices.
This is a preview of subscription content, log in via an institution to check access.
Similar content being viewed by others
References
J. H. Ma, The Reconstruction Technology of Complex Nonlinear System, Tianjin University Press, Tianjin, 2005.
M. J. Stutzer, Chaotic dynamics and bifurcation in a macro model, Journal of Economic Dynamics and Control, 1988, 2(1): 353–376.
D. K. Dackus, P. J. Kehoe, and F. E. Kydland, Dynamics of the trade 603 balance and the terms of trade: The J curve? American Economic 604 Review, 1994, 84(1): 84–103.
TönuPuu, Rational expectations and the Cournot-theocharis problem, Discrete Dynamics in Nature and Society, 2006, 2006: 1–11.
X. S. Luo, B. H. Wang, and G. R. Chen, On dynamics of discrete model based on investment competition, Journal of Management Sciences in China (in Chinese), 2004, 17(3): 7–30.
H. R. Priesmeyer and K. Baik, Dynamics economic system, Planning Review, 1994, 17(6): 14–26.
John R. Knight, William E. Herrin, and Arsene M. Balihuta, Housing prices and maturing real estate markets evidence from Uganda, Journal of Real Estate Finance and Economics, 2004, 28(1): 5–18.
Geoff Kenny U, Modeling the demand and supply sides of the housing market: Evidence from Ireland, Economic Modelling, 1999, 16(3): 389–409.
F. V. Waugh, Cobweb models, Journal of Farm Economics, 1964, 46(4): 732–750.
H. N. Agiza, A. S. Hegazi, and A. A. Elsadany, Complex dynamics and synchronization of a duopoly game with bounded rationality, Mathematics and Computers in Simulation, 2002, 58(2): 133–146.
Ahmad K. Naimzada and Lucia Sbragia, Oligopoly games with nonlinear demand and cost functions: Two boundedly rational adjustment processes, Chaos, Solitons, and Fractals, 2006, 29(3): 707–722.
Theo Offerman, Jan Potters, and Joep Sonnemans, Imitation and belief learning in an oligopoly experiment, the Review of Economic Studies, 2002, 69: 973–997.
Author information
Authors and Affiliations
Corresponding author
Additional information
This research is supported by the National Natural Science Foundation of China under Grant Nos. 60641006 and 70872029.
Rights and permissions
About this article
Cite this article
Mu, L., Ma, J. & Chen, L. A 3-dimensional discrete model of housing price and its inherent complexity analysis. J Syst Sci Complex 22, 415–421 (2009). https://doi.org/10.1007/s11424-009-9174-6
Received:
Revised:
Published:
Issue Date:
DOI: https://doi.org/10.1007/s11424-009-9174-6