published_or_final_version / Urban Planning / Master / Master of Science in Urban Planning

published_or_final_version / abstract / toc / Transport Policy and Planning / Master / Master of Arts in Transport Policy and Planning

published_or_final_version / Real Estate and Construction / Doctoral / Doctor of Philosophy

published_or_final_version / Environmental Management / Master / Master of Science in Environmental Management

published_or_final_version / Urban Planning / Master / Master of Science in Urban Planning

published_or_final_version / Business Administration / Master / Master of Business Administration

published_or_final_version / abstract / toc / China Area Studies / Master / Master of Arts

published_or_final_version / abstract / Geography / Master / Master of Philosophy

An important process of economic reform in China has been to promote the inflow of foreign direct investment (FDI). After more than thirty years of economic reform, China has become one of the most important destinations for cross-border direct investment. Since Taiwan has become one of the major source countries of FDI in China, Taiwanese investment has experienced changes in spatial patterns and industrial composition since the 1990s. As a result of active government promotion through various policy measures, FDI in China has grown rapidly since 1978, especially in the 1990s. Taiwanese authorities released the investment strategy, “Be patient, No hurry”in 2001, and since then China has become the biggest target of Taiwanese investment outside of Taiwan; money from Taiwan forms a significant portion of foreign capital in China. Due to coastal and other geographical advantages of the three major economic regions possessing good investment environments (that is, the Pearl River Delta, Yangtze River Delta (YRD) and Bohai Bay economic region), the landscape of Taiwanese direct investment (TDI) in recent years has been moving Northward and Westward significantly. Initially, the Taiwanese investment in labor-intensive industries mainly concentrated in southern China, including Guangdong and Fujian, because of the cheap labor and geographic proximity. Since the mid-1990s, the industries of Yangtze Rive Delta region has become a new investment hotspot for Taiwanese enterprises while their industrial nature is changing to be more technology-intensive and domestic market-oriented.

This paper researches the relationships between sub-center cities, satellite cities and core cities in Jingjinji Area, Huninghang Area and Pearl River Delta. It also covers the connections between Chinese housing market and stock market. It uses an unique dataset called China Real Estate Index System (CREIS) to measure the Chinese housing prices. Through correlations, Granger causality tests and regression models, this paper concludes there are indeed connections for the movements in housing prices in the surrounding cities relative to Beijing, Shanghai and Shenzhen in the three city groups, and there is no sufficient evidence to show the existence of the connection between Chinese housing market and stock market.