The Invisible Hand? Using Tax Credits to Encourage Institutional Investment in Social Housing
Over recent decades many developed countries have commercialised the provision of state-subsidised housing, and introduced a stronger role for market forces. Government financial support now often aims to leverage debt or equity investment. Spearheading this policy change is a quest for the ‘Holy Grail’ of contemporary social housing policy: private equity investment, sourced from large institutional investors such as banks and pension funds. For comparative housing research, this opens up exciting new territory. Recent Australian developments using tax credits to incentivise investment -- based on a successful US scheme -- provide a valuable opportunity for comparison. This exploratory paper contrasts the two countries’ housing tax credit schemes, highlighting outcomes for investors, tenants and the wider housing system. Foregone corporate taxes provide governments with a powerful ‘invisible hand’ to incentivise flows of private equity, replacing direct public grants. Yet despite free market rhetoric, tax credit schemes still rely on additional government intervention - especially during financial market turbulence.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 11 (2011)
Issue (Month): 4 (December)
|Contact details of provider:|| Web page: http://www.tandfonline.com/REUJ20|
|Order Information:||Web: http://www.tandfonline.com/pricing/journal/REUJ20|
When requesting a correction, please mention this item's handle: RePEc:taf:intjhp:v:11:y:2011:i:4:p:453-468. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Michael McNulty)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.