Abstract. This paper examines the housing sales in China from 2004 to 2015 utilizing an optimal dynamic general equilibrium theoretical framework combined with a macroeconomic model. The spatial panel econometric empirical results suggest that housing prices and economic growth have increased housing sales in China. However, since house is considered as a special commodity in China, and unemployment show negative impacts on housing sales.Keywords. Energy use, Housing values, Optimal dynamic general equilibrium, Spatial panel econometrics, China.JEL. Q41, R31, E10
