Do People Respond to the Mortgage Interest Deduction? Quasi-Experimental Evidence from Denmark
利用丹麦一项削减中高收入家庭抵押贷款利息扣除的改革，研究发现该扣除对住房拥有率无影响，但促使购房者购买更大更贵的房子、增加负债，并降低了均衡房价。
Using a major reform that scaled back the mortgage interest deduction for middle- and high-income households in Denmark, we study how tax subsidies affect housing decisions. We present four main findings. First, the mortgage deduction has a precisely estimated zero effect on homeownership for high- and middle-income households. Second, the mortgage deduction has a clear effect on housing demand at the intensive margin, inducing homeowners to buy larger and more expensive houses. Third, the deduction has sizeable effects on household financial decisions, inducing them to increase indebtedness. Finally, the reduction of the tax subsidy lowered equilibrium house prices.