Fiscal Aspects of Housing in Europe

Guido Wolswijk

Chapter 8 in Housing Market Challenges in Europe and the United States, 2009, pp 158-177 from Palgrave Macmillan

Abstract: Abstract A large degree of volatility in housing markets and in mortgage markets may have disruptive effects on the economy. Large negative shocks on these markets may, for instance, adversely affect the economy and pri-vate consumption in particular via the wealth effect and via less mortgage equity withdrawal, but negative effects on housing investment may also arise.2 Disruptions in the housing sector can be quite severe as a result of the lagged responses in the supply of houses and because of households’ adaptive formation of expectations, extrapolating recent house price increases (and related capital gains) to the future. Large adverse shocks can also impair financial stability.3

Keywords: House Price; Housing Market; Euro Area; Capital Gain; Mortgage Loan (search for similar items in EconPapers)
Date: 2009
References: Add references at CitEc
Citations: View citations in EconPapers (3)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:pal:palchp:978-0-230-24698-0_8

Ordering information: This item can be ordered from
http://www.palgrave.com/9780230246980

DOI: 10.1057/9780230246980_8

Access Statistics for this chapter

More chapters in Palgrave Macmillan Books from Palgrave Macmillan
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().