A Research On The Relationship Between Sold Area, Average Sold Price, And Total Retail Sales Of Commercial Property: A Case Study Of Chongqing

This paper explores the relationship between sold area of commercial building, average sold price of commercial building, and total retail sales of consumer goods. A theoretical model of those three variables is constructed through introducing the concept of "macro-Pingxiao," which is assumed to influence the average sold price positively. And an empirical analysis of the theoretical model is presented by using the data from Chongqing for the period 1999-2014. The theoretical and empirical analysis show the findings: (1) according to the empirical test, the theoretical model can well estimate the relationship between sold area of commercial building, average sold price of commercial building, and total retail sales of consumer goods, (2) a linear relationship between average sold price and "macro-Pingxiao" is verified significantly and average sold price always lags "macro-Pingxiao" for 1 year, and (3) this research can also provide a new method to measure the "macro-Pingxiao" of a whole city, which can show a city's commercial property well-run or not, and the operating efficiency of commercial property for Chongqing is slightly superior to break-even.