July 24, 2017

WELFARE QUEENS:

Jonathan Gruber disputes idea that mortgage interest deduction boosts homeownership (Joseph Lawler, Jul 24, 2017, Washington Examiner)

The tax deduction for mortgage interest does not increase homeownership, according to a new study based on an experiment in Denmark.

That finding, which is highly relevant for the tax reform that Republicans are currently mulling that could curb the deduction over the housing lobby's objections, comes from a working paper released by the National Bureau of Economic Research Monday. The paper, which has not gone through peer review, is co-authored by MIT economist Jonathan Gruber, often referred to as the architect of Obamacare.

The mortgage interest deduction "has a precisely estimated zero effect on homeownership, even in the very long run," concludes the study, written by Gruber and economists from Princeton and the University of Copenhagen.

Posted by at July 24, 2017 3:37 PM

  

« BY THEIR DEFENSE OF SEXUAL ASSAULT SHALL YE KNOW THEM: | Main | LOW REGARD FOR BEAUREGARD: »