Should we tax vacant dwellings? A search equilibrium model applied to the rental housing market
This article examines the effects of a tax on vacant dwellings. I use a search equilibrium model in which the distribution of rent is the result of the owners’ posting strategy. I show that this tax reduces the number of vacant dwellings and increases the average rent.
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- Sonmez, Tayfun, 1996.
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- Wheaton, William C, 1990. "Vacancy, Search, and Prices in a Housing Market Matching Model," Journal of Political Economy, University of Chicago Press, vol. 98(6), pages 1270-1292, December.
- Rosenthal, Leslie, 1997. "Chain-Formation in the Owner-Occupied Housing Market," Economic Journal, Royal Economic Society, vol. 107(441), pages 475-488, March.
- Burdett, Kenneth & Mortensen, Dale T, 1998. "Wage Differentials, Employer Size, and Unemployment," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 39(2), pages 257-273, May.
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