A Study on the Relationship between Excess Liquidity and Apartment Price of the Country

For the past few years, a rapid increase of apartment prices in country led by Seoul has attracted social and economic attentions. The triggered long-term low interests expansion liquidity as part measures to stimulate economy since global financial crisis, which means that excess over volume real anticipated players was distributed market. Thus, this study used SVAR model empirically analyze on basis theories. Both Gap Ratio Marshallian-K Cyclical Component P* were figure out endogenous variables included yield expiry treasury bonds for three-year expiry, consumer price index, industrial production retail sales index nationwide index. As result, rise liquid shockingly increased about 5% prices, indicated had great influence prices. also shocking impact quite long time. Therefore, monetary authorities should come up with ideas enhance effectiveness through monitoring liquidity.