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: Calculated RiskReport: No Push to Extend Homebuyer Tax Credit
By Anonymous
Two groups that once lobbied strongly for the credit -- the National Association of Realtors and the National Association of Home Builders -- have no plans to make a push for its extension, according to spokesmen from both groups. And the word from NAR's government-affairs department is that another extension isn't in the cards.The first round of the homebuyer tax credit was widely criticized by economists as inefficient and misdirected. The tax credit went mostly to people who would have bought anyway - and it just provided an incentive for people to move from renting to owning without reducing the overall stock of housing units.
The evidence suggests the extension was even more costly and inefficient than the original credit. So no further extension is good news for the economy ...
Full post as published by Calculated Risk on April 16, 2010 (boomark / email).
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