China's house prices have continued to rise, despite the government's control measures, and the historical experiences of other countries show that policymakers should act promptly to prevent the bubble bursting.

The cost of a new home in 100 major Chinese cities rose 5.3 percent year-on-year to reach an average of 10,098 yuan ($1,610) per square meter, according to the China Index Academy, a major private research institution. The rise follows a strong price surge in March, when house prices rose in 68 out of 70 major cities where property prices are tracked.

Economists who have been sounding the alarm for a number of years about the risks of the housing bubble bursting have been accused of crying wolf, because real estate prices keep on rising. But this time their warning should be heeded.