The Case-Shiller Composite 20 index averaged 144 during the months that the "Home Buyer Tax Credit" was in effect. This credit was claimed by many (including Professor Shiller himself) to be essential to housing market performance.
As of September 2010 -- the most recent data available, and certainly after the credit was expired -- the index stood at 147.
So now the evidence is supporting what economic theory said all along: if the Home Buyer Tax Credit were to cause housing prices to be higher, that effect would be at most minuscule.
As of September 2010 -- the most recent data available, and certainly after the credit was expired -- the index stood at 147.
So now the evidence is supporting what economic theory said all along: if the Home Buyer Tax Credit were to cause housing prices to be higher, that effect would be at most minuscule.
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Those opposed to bringing back the homebuyer tax credit say it would blow a bigger hole in the federal deficit, while supporters see it as key to stabilizing a pillar of the economy that faces headwinds despite low mortgage interest rates.
Homebuyer credit
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