Abstract: Paper No. 189
Apocalypse Now? Fundamental Tax Reform and Residential Housing Values
Douglas Holtz- Eakin and Donald Bruce
July 1998
Using a simulation model crafted to integrate the short-run and
long-term impacts of tax reform on the housing market, we find modest
impacts from fundamental reform of the Federal income tax. These results
suggest that concerns over the impact of tax reform on housing values and
household net worth are overstated. To the extent that reform is otherwise
desirable, fears of drastic effects on the housing market should not stand
as an impediment to reform.
A revised version of this paper appears as "Fundamental Tax Reform and Residential Housing," (with Donald Bruce), Journal of Housing Economics, Vol. 8, No. 4, December 1999, pp. 249-271.
Metropolitan
Studies Program Paper Series
Metropolitan
Studies Program Page
