A Study of House Price Mechanism on the Basis of Sequential Game

Housing is one of the most important issues for national interest and people's livelihood, it is also the basis for constructing a harmonious society.In this paper，a sequential game was established and several proposals were given to solve this problem. Besides it is found that the root cause of house price regulating is that real estate developers take much more advantage from information dominance compared with buyers. Finally the equilibrium forwards several proposals: the government should take measures to prevent real estate speculating, adjust the structure of house providing, take the central government's measures into practice, take plans to regulate the taxes and charges, and advance marketing competition.