Abstract

http://ssrn.com/abstract=1582296
 
 

References (95)



 


 



Government Intervention in the Housing Market: Who Wins, Who Loses?


Johannes Stroebel


New York University (NYU)

Max Floetotto


Stanford University

March 30, 2010


Abstract:     
We study the effects of government intervention in the housing market on prices, quantities and welfare in a general equilibrium model with heterogeneous agents. We consider (i) the introduction of temporary home purchase tax credits and (ii) a removal of the asymmetric tax treatment of owner-occupied and rental housing. Home buyer tax credits temporarily raise house prices and transaction volumes, but have negative welfare effects. Removing the asymmetric tax treatment of owner-occupied and rental housing generates welfare gains for a majority of agents in a comparison of stationary equilibria. Welfare impacts are more varied, though still positive, along the transition between steady states

Number of Pages in PDF File: 47

Keywords: Housing Market, Mortgage Interest Deductibility, Imputed Rents, Home Purchase Tax Credits, Policy Evaluation, Transition between Steady States

JEL Classification: C6, E21, E6, H21, R21

working papers series


Download This Paper

Date posted: April 2, 2010 ; Last revised: November 21, 2013

Suggested Citation

Stroebel, Johannes and Floetotto, Max, Government Intervention in the Housing Market: Who Wins, Who Loses? (March 30, 2010). Available at SSRN: http://ssrn.com/abstract=1582296 or http://dx.doi.org/10.2139/ssrn.1582296

Contact Information

Johannes Stroebel (Contact Author)
New York University (NYU) ( email )
Bobst Library, E-resource Acquisitions
20 Cooper Square 3rd Floor
New York, NY 10003-711
United States
Max Floetotto
Stanford University ( email )
Stanford, CA 94305
United States
HOME PAGE: http://www.stanford.edu/~maxf
Feedback to SSRN


Paper statistics
Abstract Views: 1,410
Downloads: 147
Download Rank: 117,028
References:  95

© 2014 Social Science Electronic Publishing, Inc. All Rights Reserved.  FAQ   Terms of Use   Privacy Policy   Copyright   Contact Us
This page was processed by apollo7 in 0.219 seconds