The Impact on Residential Choice of the Family Home Exemption in Resource-Tested Transfer Programs

John Piggott and Renuka Sane ()
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Renuka Sane: Indira Gandhi Institute of Development Research

No 201112, Working Papers from ARC Centre of Excellence in Population Ageing Research (CEPAR), Australian School of Business, University of New South Wales

Abstract: Many countries have policies offering transfers or other entitlements, subject to a resources test. In most cases, these exempt the family home. While the impacts of means-tested programs on saving and labor supply have been extensively studied, exempting the owner-occupier home has escaped analytic attention. We assess the exemption of the owner-occupied home from the Australian age-pension on residential mobility and housing trade-downs. Results suggest that this provision discourages trade-down behaviour.

Keywords: Elderly mobility; housing; residential transition; means-testing (search for similar items in EconPapers)
JEL-codes: H5 I38 J14 R2 (search for similar items in EconPapers)
Pages: 9 pages
Date: 2011-02
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Citations: View citations in EconPapers (1)

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