2017

House Price Responses to a National Property Tax Reform

Reprint No. 2017:61

Author(s): Mikael Elinder and Lovisa PerssonYear: 2017 Title: Journal of Economic Behavior & Organization Volume (No.): 144 (December) Pages: 18–39
Online article (restrictions may apply)
Preliminary version


We show that house prices in general did not respond to a substantial cut in the national property tax in Sweden. The estimates are based on rich register data covering more than 100,000 sales over a time period of two and a half years. Because the Swedish property tax is national and thus unrelated to local public goods, our setting is ideal for causal identification of the property tax on house prices. We observe price increases only in a small segment of the market containing properties with very high tax values. We discuss, but can admittedly not empirically discriminate between, several potential explanations for why we find no evidence of capitalization except for the top segment of the market.


Reference:
Elinder, Mikael and Lovisa Persson (2017), "House Price Responses to a National Property Tax Reform". Journal of Economic Behavior & Organization 144(December), 18–39.

Lovisa Persson

Contact

Ph: +46 8 665 4536
lovisa.persson@ifn.se

Mikael Elinder

Contact

Ph: +46 18 471 1565
Mob: +46 70 769 0976
mikael.elinder@ifn.se

An Agenda for Europe

Institutional Reform for Innovation and Entrepreneurship

Omslag 2017 Institutional Reform for Innovation and Entrepreneurship.jpg

The authors of this book, Niklas Elert, Magnus Henrekson and Mikael Stenkula, advise the economies of the European Union to become more entrepreneurial in promoting innovation and economic growth. The authors propose a reform strategy with respect to several aspects to achieve this goal.

Events

Seminars organized by IFN

 

To present ongoing research informal brown-bag seminars are held on Mondays at 11:30 am. This is an opportunity for IFN researchers to test ideas and results.

Academically oriented seminars are most of the time held on Wednesdays at 10 am. At these events researchers from IFN and other institutions present their research.

In addition, IFN organizes seminars open to the public. Topics for these are derived from the IFN research.

Research Institute of Industrial Economics, Grevgatan 34 - 2 fl, Box 55665, SE-102 15 Stockholm, Sweden | Phone: +46-(0)8-665 45 00 | info@ifn.se