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During the last quarter century, mortgage interest deductibility has been gradually phased out. In 1974 a ceiling was set on the size of the mortgage eligible for interest deductibility (oelig;30,000 since 1983) and, beginning in 1993, the maximum rate at which interest under that ceiling could...
Persistent link: https://www.econbiz.de/10012762984
Owner-occupied housing is said to be favored in the tax code because mortgage interest and property taxes can be deducted in the computation of one's income tax base in spite of the fact that the returns from owner- occupied housing = not taxed. The special tax treatment reduces the user cost of...
Persistent link: https://www.econbiz.de/10013308370
Oswald hypothesizes that regions and countries with high homeownership rates will experience higher natural rates of … unemployment and that rising homeownership in OECD countries since the 1960s provides a key explanation for the rise in the natural … have significantly slower exits from unemployment. Overall, homeownership does not increase unemployment. Finally, in line …
Persistent link: https://www.econbiz.de/10013313802
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During the 1960s and 1970s, the U.S. government closely regulated the single-family housing finance system. The regulation manifested itself in a highly specialized system with four notable characteristics: portfolio restrictions against investments in corporate assets, tax inducements to invest...
Persistent link: https://www.econbiz.de/10012750735
inflation and the rapid growth of young and primary individual households with relatively low homeownership rates. This appears …The aggregate homeownership rate in the United States has continued to rise throughout the 1970s despite rising … to be a result of a decline in the cost of homeownership relative to renting. The post 1965 decline in the real after …
Persistent link: https://www.econbiz.de/10012763189
local capital. The homeownership rate rises by one-half percentage point, virtually all of the increase occurring for …
Persistent link: https://www.econbiz.de/10012760167
inflation rate, with and with- out an increase in the risk premium on equities, was then simulated with a number of model … cost was 3 percentage points less than that for corporate capital) and the manner in which inflation magnifies it (the … finance instruments would overcome this reallocation but at the expense of corporate capital. Only a reduction in inflation or …
Persistent link: https://www.econbiz.de/10012774619